In the midst of the ongoing US-China trade war: it can be assumed that the recent intensification of cryptocurrency news from China comes as part of a national push towards strengthening the economy both domestically, and through international partners.
Over the past couple of weeks, cryptocurrency and blockchain news out of the People’s Republic of China (PRC) has noticeably intensified. Is China laying the groundwork for a national cryptocurrency fintech economy, or even a state-backed token?
“Aimed at standardizing the application and management of passwords, promoting the development of the password business, ensuring network and information security, and improving the scientific, standardized and legalized level of password management.
It is a comprehensive and basic law in the field of passwords in China.” – via CCTV
Whether or not it’s on purpose, the efforts of the countries government in favour of blockchain and digital assets has resulted in a surge of interest amongst the Chinese investment community in favour of cryptocurrencies – including bitcoin.
Chinese government attempted to control over-enthusiastic crypto investment (and, more importantly, divestment from China’s national Renminbi / Yuan currency towards decentralized alternatives) with a subsequent statement outlying the need for ‘rationality’ – despite the official support.
If China really wants to prevent eager investors from taking part in third party cryptocurrencies however, it’s going to have to create its very own – which doesn’t seem at all unlikely at this point.
“The rise of blockchain technology was accompanied by that of cryptocurrencies, but innovation in blockchain technology does not mean we should speculate in virtual currencies,” – via Reuters
Russia and China have some similarities with regards to cryptocurrency and blockchain activities, in light of their respective economic and global-political positions.