China is working strongly to deploy its digital currency. Expectantly, people would enjoy the home-based digital asset within six to twelve months. The updates have come through CNBC’s recent interview with a blockchain-focused venture capital fund partner Edith Cheung on Nov 20th.
In an interview, Cheung from Proof of Capital mentioned that the Chinese government is striving thoughtfully about the launch and rollout of its digital currency and “definitely the arrival is imminent in 2020.”
Speaking to CNBC, Cheung also brought her thoughts referring to foreign powers including U.S. and said that, “I really think the United States needs to hurry up; to have a strong thinking and policy, at least a direction for virtual USD,” as China is moving towards the launch of issuing its digital currency which would be the personification of its national currency.
China: In a State of Obscurity Towards the Launch
According to the report published in the local news outlet Global Times in Sep, the Central Bank governor expressed about the undecided time which is required by the authorities towards the launch of the digital Chinese Yuan.
As per the news, the People’s Bank Of China “needs time to research, test, evaluate,” and officials want to take preventive measures to avoid risk factors, Yi Gang, governor of the People’s Bank of China (PBC), conveyed via a press conference in Beijing.
Gang further relayed that the research and development of the Chinese digital currency are moving smoothly and progressively, however, it’s circulation in cross-border businesses require essential regulations and imperative requirements which are linked to anti-money laundering, counter-terrorism financing, and anti-tax havens.
The remarks of Gang is entirely contradicting to the remarks made by Mu Changchun, the deputy director of the bank’s payments division. In August, China Daily (China.org.cn), another local news outlet mentioned about the revelationsmade by Changchun during a forum about the upcoming launch of CBDC.
Changchun, at the time, said that PBOC is just ready to launch its government-backed digital currency and the trials have started. If all the testing responds well, the PBOC is expecting to roll out the CBDC sooner than Facebook Libra.
On Nov 11, CNBC published an interview with Jack Lee, the founding managing partner of HCM Capital- the private equity arm of Foxconn. Lee has shared his prediction on the forthcoming launch of Chinese digital currency while saying that it would launch very soon in just three months, reasoning that China has already had a robust third-party payment network that could support the digital currency thoroughly.
More speculations are expected in the upcoming time whether it is about the hyped Facebook Libra or its reportedly powerful competitor CBDC, KoinPost will keep on updating the readers. Till then Stay focused on your finances and don’t miss out on the important updates.