Of course China is paving the way to the digital yuan, mostly so they can control it. However, while gaining control to social use of crypto and keeping tabs on its citizens, China is losing the monopoly of Bitcoin.
With El Salvador approving bitcoin as an official currency, other countries will follow soon and it would be interesting to see the 103rd country on the GDP rank to climb the ladder and see the 2nd climb down.
El Salvador might have started the race and FOMO will push other countries to follow. I'm afraid China is going to lose this one.
The People’s Bank of China has been developing the digital yuan, a so-called central bank digital currency that aims to replace some of the cash in circulation.
What this means for bitcoin is they (China) want to show their love for their own product and maybe dominance over Bitcoin but Bitcoin is the foundation of cryptocurrency which means when you heard the word crypto people think about bitcoin. But the real issue here is the mining data center that most people know the energy consumption of bitcoin mining. The question leads to are they banning this bitcoin mining due to energy power consumption or they want to endorse or increase the use or dominance of their new digital currency.
Great insights. Its hard to imagine a global power not adopting crypto once the floodgates are open - it would be a bit like not adopting the internet in the 90s. Any decision will have an impact upon many of China's worldleading tech companies, and adoption of blockchain for other uses will likely be difficult without also buying in to the cryptocurrency space.
This is all a big scale global power play. The poker analogy sums it up nicely. China is trying to leverage its power early on to take advantage of being a first mover. I believe in the long run Bitcoin will prevail and China will be left out and in a weak position. Only time will tell and we'll be here to witness the poker game.
China plays a really REALLY big role in the world economy no matter what anyone says it thinks. When they make moves like this people watch. It's like watching a wolf pack. When the old alpha makes a mistake, the pack notices and leadership changed. Not the best metaphor, but it works in my head. I'm REALLY interested what starts happening in the Asian cryptosphere right now.
I find it interesting that China is willing to lose its stronghold on Bitcoin as the majority hash rate generator in order to promote their centralized cryptocurrency which is nothing more than a digital version of their physical currency. Surveillance and tracking is undoubtedly the priority for China, even at the expense of losing significant control of arguably the most important cryptocurrency. For the rest of the world, this will be a sigh of relief as dispersing Bitcoin mining throughout the rest of the world will reduce security vulnerabilities and allow it to be more decentralized.
Great article Jason
Super informative and covers all angles, I struggled to find a single thing to debate
I like the way you summarized the long term impact lol
thanks for this great article
It is truly mind-opening to read the details and reflections of what happened directly from a quarterback.
I'm waiting for this moment
''It would, for example, only take one sovereign state to declare Bitcoin as part of its reserve assets to open the flood gates.''
It will be exciting to witness what happens when that happens.
Nice Article
You have explained every points in very easy manner
And if i wanna say something then i think that China just wanna play in market in every gap of 2-3 years as in 2013 , 2017 , 2019 and now 2021
They are just trying to dump each and everything as much they can
We know that most of the Bitcoin mining is done by Chinese Miners and it's the best way to spread some news like this one to manipulate the market
(PS:My thought Sorry if you don't like it )
Great article with an excellent analysis.
Of course China is paving the way to the digital yuan, mostly so they can control it. However, while gaining control to social use of crypto and keeping tabs on its citizens, China is losing the monopoly of Bitcoin.
With El Salvador approving bitcoin as an official currency, other countries will follow soon and it would be interesting to see the 103rd country on the GDP rank to climb the ladder and see the 2nd climb down.
El Salvador might have started the race and FOMO will push other countries to follow. I'm afraid China is going to lose this one.
China wants to ban the people so that the empire can have a mining advantage
The People’s Bank of China has been developing the digital yuan, a so-called central bank digital currency that aims to replace some of the cash in circulation.
What this means for bitcoin is they (China) want to show their love for their own product and maybe dominance over Bitcoin but Bitcoin is the foundation of cryptocurrency which means when you heard the word crypto people think about bitcoin. But the real issue here is the mining data center that most people know the energy consumption of bitcoin mining. The question leads to are they banning this bitcoin mining due to energy power consumption or they want to endorse or increase the use or dominance of their new digital currency.
Great insights. Its hard to imagine a global power not adopting crypto once the floodgates are open - it would be a bit like not adopting the internet in the 90s. Any decision will have an impact upon many of China's worldleading tech companies, and adoption of blockchain for other uses will likely be difficult without also buying in to the cryptocurrency space.
Thanks for the info !
I knew something was happening in China Bitcoin related, but know I understand better what’s actually happening.
Is a shame that this is happening, but people always find a way to keep making this grow so they’ll be good.
Great info !
This is all a big scale global power play. The poker analogy sums it up nicely. China is trying to leverage its power early on to take advantage of being a first mover. I believe in the long run Bitcoin will prevail and China will be left out and in a weak position. Only time will tell and we'll be here to witness the poker game.
Great summary for someone newer to the crypto game like myself. Appreciate the insight.
And going all in before the flop? Sounds like someone's stealing my playbook from Finney Poker nights.
China plays a really REALLY big role in the world economy no matter what anyone says it thinks. When they make moves like this people watch. It's like watching a wolf pack. When the old alpha makes a mistake, the pack notices and leadership changed. Not the best metaphor, but it works in my head. I'm REALLY interested what starts happening in the Asian cryptosphere right now.
Thanks for the read.
I find it interesting that China is willing to lose its stronghold on Bitcoin as the majority hash rate generator in order to promote their centralized cryptocurrency which is nothing more than a digital version of their physical currency. Surveillance and tracking is undoubtedly the priority for China, even at the expense of losing significant control of arguably the most important cryptocurrency. For the rest of the world, this will be a sigh of relief as dispersing Bitcoin mining throughout the rest of the world will reduce security vulnerabilities and allow it to be more decentralized.