Copy link
Increase text size
Decrease text size
Link copied

Libra threat could force China’s hand to create own crypto coin

Facebook.Christoph Scholz/Flickr

Wed, 10 Jul 2019, 09:31 am UTC

China has been looking to create its own cryptocurrency for quite some time now, but nothing major has come of it. However, with the threat of Facebook Libra slowly moving across the horizon, the People’s Bank of China (PBOC) is now considering speeding up the process. This is how potent the social media site’s crypto initiative is in terms of its potential impact on various world economies.

In a recent South China Morning Post report, it was noted that the PBoC's research bureau director Wang Xin spoke in a public conference about Libra. During the speech, he pointed out just how huge the threat it poses can be. On top of the economic implications of such a crypto force, there are also political consequences to consider.

“If [Libra] is widely used for payments, cross-border payments in particular, would it be able to function like money and accordingly have a large influence on monetary policy, financial stability and the international monetary system?” Wang noted.

Suffice it to say, the PBOC is keeping a close eye on Libra, just as it did with the crypto industry back in 2014. After all, China was one of the first to take notice of crypto coins and the potential dangers they could pose on various economies. It seems to be placing Libra under similar kind of scrutiny, as Wang explained during the conference.

“If the digital currency is closely associated with the US dollar, it could create a scenario under which sovereign currencies would coexist with US dollar-centric digital currencies. But there would be in essence one boss, that is the US dollar and the United States. If so, it would bring a series of economic, financial and even international political consequences,” he said.

This is basically why the PBoC is looking at the option to buff up its own defenses with its own crypto coin, CoinDesk reports. Once China does this, other countries could follow.

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $9,556.91 (+4.09%)
  • Ethereum (ETH) $224.22 (+7.62%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $242.12 (+3.90%)
  • Bitcoin SV (BSV) $194.21 (+3.24%)
  • Bitcoin (BTC) $9,556.91 (+4.09%)
Feb 21, 2020 (Friday)
12:01
Paxos launches blockchain-based securities settlement solution with Credit Suisse and Instinet
12:00
Brazil to launch new payment system in response to cryptocurrencies
11:59
Digital currency exchange Coinbase Pro lists Kyber Network token
11:57
Norwegian Air to soon start accepting crypto payments
10:21
Swedish central bank begins CBDC pilot with Accenture
09:51
Italian soccer team Juventus launches ethereum-based digital collectibles with Sorare
Feb 20, 2020 (Thursday)
14:16
Telecom companies complete cross-carrier mobile payments using blockchain
11:53
National Stock Exchange of Australia to develop DLT-based digital securities trading platform
11:00
South Korean ICO project discontinued, to return $7.5M to token holders
10:36
Samsung maintains crypto support in soon-to-launch Galaxy S20
09:41
BIS appoints Innovation Hub heads to lead Singapore and Switzerland
09:15
Coinbase becomes first crypto company to receive Visa principal membership
08:59
Dubai Economy and six banks launch KYC Blockchain Consortium
08:26
Crypto Technicals: ETH/USD under downside pressure after 'Bearish Engulfing' pattern
07:12
Tim Draper buys $1M worth of Aragon Tokens to create digital courts for DAOs
06:13
Renewable energy firm Acciona commits to take CBI’s blockchain-based carbon credits trading platform global
05:02
Crypto Technicals: BTC/USD trades below 21-EMA, break below 4H 200 MA (9386) to trigger further downside
04:56
Crypto exchange Coinfloor to launch a simplified bitcoin buying service
04:35
Indonesia’s customs department joins IBM- Maersk blockchain shipping platform “TradeLens”
Feb 19, 2020 (Wednesday)
12:46
Crypto custodian BitGo acquires digital securities startup Harbor
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft