Cryptocurrency News Today – Headlines for January 3

  • China’s crypto is almost ready for launch
  • China’s new digital token would find it tough to hold a strong footing in BRI countries
  • African is the likely market for China’s cryptographic initiative

Cryptocurrency News Today – It is well known that China is now leading the race to launch a state-backed cryptocurrency. The Asian superpower has recently revealed that it plans to launch its version of the RMB last year. When the news came, China said the initiative was already in development and will launch sometime in 2020.

Additionally, the news about China’s digital coin broke-out just after Facebook announced that it will launch Libra and it quickly got the attention of world governments, including the attention of U.S regulators. Interestingly, China‘s decision to venture into the digital asset space was claimed to be a major reason behind Libra’s introduction at the Congressional hearing on Facebook’s user privacy policy and all-things Libra.

African has been touted to be the First Market for China to Explore

Following China’s crypto venture, many discussions have arisen about whether or not Beijing’s digital currency would be able to establish a global footing. This is been considered because China is reportedly the first in the race to launch a state-backed digital asset. Regarding any digital currency that is gaining global influence, Africa is often spoken of as China’s first market to explore for its crypto. This is because China has already established a strong presence in the continent with its one belt one road scheme.

This was reportedly one of the hot topics that were discussed by YuanJie Zhang. Zhang is the co-founder of Conflux. The Conflux founder said whether it would be easy for China’s RMB to penetrate BRI countries (states under its one belt one road initiative) remains to be seen.

Zhang: BRI Countries will Lose Their Monetary Independence Should they Adopt RMB

Zhang said:

“I don’t think China will easily penetrate BRI countries, to be honest. Even for the countries using its one belt one road scheme. These governments aren’t stupid, they all know that if they allow China’s RMB into their monetary system, into daily use, it won’t be an issue for their monetary system, they will lose their monetary independence. Right now, I’d swap RMB with my currency. This creates P2P channels, although the P2P channels is a multiparty to one-party model. They don’t form a network, it is not similar to the USD network. So, it is tough for the Chinese to push its digital money out.”

Whether Zhang’s claims are true or not remains to be seen. Only time will tell.

Princess Ogono is a writer, lawyer and fitness enthusiast. She believes cryptocurrencies are the future. When she's not writing, she spends time with her adorable cat, Ginger and works out often.

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