China central bank to release digital currency prototype in 2017

ebliever

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Quote from: lambofan on January 08, 2017, 03:31:26 PM

May sound strange but Chinese controls in many ways BTC, starting with the name of its inventor.

Satoshi Nakamoto is a Japanese name, not Chinese.

China has influence over bitcoin, potentially, via the possibility of regulating either mining or bitcoin exchanges. The impact of both would be limited since a strong negative action by the government in either area would lead to offshoring of either the mining or ownership of BTC. So there would be basically a one-time negative event, and then reduced exposure to Chinese influence thereafter.

So far as controlling the bitcoin protocol, I don't see any evidence that China is a significant player in that respect.

lambofan

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Quote from: Velkro on January 08, 2017, 08:39:09 AM

Quote from: hl5460 on January 06, 2017, 04:32:38 AM

China central bank to release digital currency prototype in 2017
http://news.8btc.com/china-central-bank-to-release-digital-currency-prototype-in-2017

That has nothing to do with bitcoin. Goverment coin is like any sh&&coin out there.
Bitcoin is global and has strongest super computer in the world backing it up.
They can't beat this Wink

May sound strange but Chinese controls in many ways BTC, starting with the name of its inventor.

slapper

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hell no. It will absolutely affect Bitcoin a lot. I believe Bitcoin prices will drop significantly. Although that digital currency is centralized by the government, I doubt that there are still some Chinese who won't invest in this currency. The China main aim is to rule the world and their people also want China to become the strongest country on the Earth. Poor Bitcoin

Velkro

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Quote from: hl5460 on January 06, 2017, 04:32:38 AM

China central bank to release digital currency prototype in 2017
http://news.8btc.com/china-central-bank-to-release-digital-currency-prototype-in-2017

That has nothing to do with bitcoin. Goverment coin is like any sh&&coin out there.
Bitcoin is global and has strongest super computer in the world backing it up.
They can't beat this Wink

stomachgrowls

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Quote from: Xester on January 08, 2017, 07:44:32 AM

Quote from: xuan87 on January 06, 2017, 06:38:18 PM

well it won't affect crypto currency too much, it is just a fiat that being change into digital currency, and the coin is not going to anonymous and it will be centralized, so there is no different with fiat, I don't think it will be successful, the government won't succeed to rule bitcoin down, the user used bitcoin because the user want a currency that free from control

You are right in saying that launching a fiat currency will not affect bitcoin too much. That would be a fact if the country involved is not China. China is one of the country that has biggest hold of bitcoins volume in the world. Aside from having a large number of bitcoin users in the populace and big companies that are in the rich list of bitcoin industry they also have the biggest bitcoin mining farm in the world. It is not yet 100% but there is a possibility that during the launch a big dump on bitcoin will occur and a price meltdown will placed upon bitcoin.

This is not something not to be looked upon to, if only it isnt China but it is. And so a panic and a regulation in China will bring about tremendous and huge effect on bitcoin industry.

Price would eventually go down if China would launch its own digital currency and you are right they hold of the most huge amount of bitcoin as of now and they have the largest company of bitcoin miners and if they tend to jump to their own currency then expect that bitcoins price would largely affected.

Xester

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Quote from: xuan87 on January 06, 2017, 06:38:18 PM

well it won't affect crypto currency too much, it is just a fiat that being change into digital currency, and the coin is not going to anonymous and it will be centralized, so there is no different with fiat, I don't think it will be successful, the government won't succeed to rule bitcoin down, the user used bitcoin because the user want a currency that free from control

You are right in saying that launching a fiat currency will not affect bitcoin too much. That would be a fact if the country involved is not China. China is one of the country that has biggest hold of bitcoins volume in the world. Aside from having a large number of bitcoin users in the populace and big companies that are in the rich list of bitcoin industry they also have the biggest bitcoin mining farm in the world. It is not yet 100% but there is a possibility that during the launch a big dump on bitcoin will occur and a price meltdown will placed upon bitcoin.

This is not something not to be looked upon to, if only it isnt China but it is. And so a panic and a regulation in China will bring about tremendous and huge effect on bitcoin industry.

davis196

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Quote from: hl5460 on January 06, 2017, 04:32:38 AM

China central bank to release digital currency prototype in 2017

Back in August 2016, Fan Yifei, Vice President fo People’s Bank of China, has written an article elaborating the theoretical basis and framework selection of China’s fiat digital currency. He says that the legal framework of China’s legal digital currency tends to follow “central bank – commercial bank” dual model, that is: the central bank is responsible for digital currency issuance and verification monitoring. Commercial banks are responsible for providing digital currency circulation services and building application for the ecosystem. A Demo system is expected to be released after the Spring Festival of 2017 after two rounds of revision.

http://news.8btc.com/china-central-bank-to-release-digital-currency-prototype-in-2017

China doesn`t need a central bank digital currency.They can adopt bitcoin and use it

as a government coin.Their control is total,they have the biggest miners.

densuj

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Well i think it is fiat money that become digital currency, because there are regulator, controler and something are like other fiat money.
That is not digital currency I guess, is like bitcoin and other fair digital currencies. It can be manipulated by government and central bank.
Although maybe it will be more stable than other altcoins, but i am doubt the people at China will use it for investing, i will see until it be launched on the markets.

franky1

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Quote from: mining1 on January 07, 2017, 11:17:03 AM

No. Because back then bitcoin had low difficulty, and was more decentralized. But things changed, nowadays probably more than 90% of hash power is in china. So if 90% of the hashpower vanishes over night the network won't be able to recover because the low hashrate outside the china won't have enough power to keep the network running. And the adjust period is <1week. In the meantime, there'll be a war to exit bitcoin to alts or fiat which would further slow down the already clogged network in a spiral to death.
Yeah, eventualy things would settle down, but a 5-50$ bitcoin would never recover anymore since all the cult believing which is what is sustaining bitcoin today will be gone then. The impact on it's image would be too severe.
This is why POW cannot work long term.

facepalm

dont call out foolish numbers

mining1

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No. Because back then bitcoin had low difficulty, and was more decentralized. But things changed, nowadays probably more than 90% of hash power is in china. So if 90% of the hashpower vanishes over night the network won't be able to recover because the low hashrate outside the china won't have enough power to keep the network running. And the adjust period is <1week. In the meantime, there'll be a war to exit bitcoin to alts or fiat which would further slow down the already clogged network in a spiral to death.
Yeah, eventualy things would settle down, but a 5-50$ bitcoin would never recover anymore since all the cult believing which is what is sustaining bitcoin today will be gone then. The impact on it's image would be too severe.
This is why POW cannot work long term.

cellard

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Quote from: mining1 on January 07, 2017, 10:31:49 AM

Centralization is bitcoin's achille's heel. One announcement of chinese government and bitcoin dropped 30%, and it's still dropping. What if in 6 months they decide it isn't enough and they ban bitcoin in china ? Most bitcoins are owned by the chinese since they mine it, if they dump the price can crash to 100$ easily. Or if the government decides to shut down the mining farms ? Any of these decision can kill bitcoin forever, since the difficulty cannot be adjusted in time, the remaining farms outside china cannot keep up with low hashpower because of the huge difficulty and bitcoin dies.
These are hard times for the public crypto / blockchain scene, because when bitcoin dies, most altcoins will die aswell.

China officially banning bitcoin and going against the miners could hurt bitcoin's price, but it's far from killing bitcoin "forever". We have already seen the price go from 1160 dollars to almost 2 figure dollars, and we saw it go from there to 4 figures again. Bitcoin has already demonstrated that it can be reborn from "death". Now it's the "if it did it once it can do it again" mentality is in the global market psychology.

mining1

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Centralization is bitcoin's achille's heel. One announcement of chinese government and bitcoin dropped 30%, and it's still dropping. What if in 6 months they decide it isn't enough and they ban bitcoin in china ? Most bitcoins are owned by the chinese since they mine it, if they dump the price can crash to 100$ easily. Or if the government decides to shut down the mining farms ? Any of these decision can kill bitcoin forever, since the difficulty cannot be adjusted in time, the remaining farms outside china cannot keep up with low hashpower because of the huge difficulty and bitcoin dies.
These are hard times for the public crypto / blockchain scene, because when bitcoin dies, most altcoins will die aswell.

Dudeperfect

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I am not surprised by this news because I believe that the, blockchain has the potential to handle much more things than just crypto payments. People are working on a blockchain based property ownership recording system. In next few years we might see the blockchain technology in many sectors which not necessarily be related to payments. It has very good potential.

iamTom123

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Quote from: Xester on January 06, 2017, 07:14:44 AM

This is one of the signs that I always spoke about. This is one of the signs that bitcoin will possibly be a goner in the years to come. There are two things that may actually happen to bitcoin when this fiat digital currency is launch.

1. There will be huge volume of bitcoin being dumped in the market by Chinese holders and miners. And since they own the biggest shares when they dump bitcoin it will possibly drop to 500$ to 300$ each.

2. If China will not make a dump then bitcoin will remain the same.

I agree with some of your views. The problem with Bitcoin is that it can be manipulated all the way from China since Chinese coin holders got a big percentage of the total Bitcoin volume. It can then be easy to see that China can be the downfall of Bitcoin...

Juggy777

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Well they can try and good luck to them. It shall fall flat on their face, cause it's again going to be centralized and government can track it, and not to forget the taxes they need to pay on the Fiat digital currency. Plus it's value won't increase like btc, it will remain same just trying to be cashless invokes lots of risk. Next year we all will read of how they tried but did not succeed lol

electronicash

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Do you think Antshare will soon have its advantage when their central banks digital curriency comes to realization? Antshares are known for its support by the chinese to which call this the Chinese ETH.

hatshepsut93

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Today you can hide your operations away from the government by buying btc with cash, but as governments move towards digital currencies, they'll get much more control over all transactions, and it will be harder to obtain Bitcoins privately.

YuginKadoya

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Quote from: hl5460 on January 06, 2017, 04:32:38 AM

China central bank to release digital currency prototype in 2017

Back in August 2016, Fan Yifei, Vice President fo People’s Bank of China, has written an article elaborating the theoretical basis and framework selection of China’s fiat digital currency. He says that the legal framework of China’s legal digital currency tends to follow “central bank – commercial bank” dual model, that is: the central bank is responsible for digital currency issuance and verification monitoring. Commercial banks are responsible for providing digital currency circulation services and building application for the ecosystem. A Demo system is expected to be released after the Spring Festival of 2017 after two rounds of revision.

http://news.8btc.com/china-central-bank-to-release-digital-currency-prototype-in-2017

If it is like bitcoin a Cryptocurrency I think it would need to wait many of years so it could succeed just like bitcoin did, but if it is just a fluke or using fiat as digital currency it is just like a online storage like paypal, by sending dollars as transaction well let's just hope it would not cause any trouble in the bitcoin community.

cellard

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Quote from: shinratensei_ on January 06, 2017, 09:16:17 PM

Expecting it will be like USDT.... But the advantages can be taking from them, the Chinese people are no need for transacting his amount through the fiat.
Is this will give an advantage for bitcoin or will be restricting the competition in crypto. Interesting for watch. Cool

USDT seems interesting to trade bitcoin without having to deliver all of your personal data to the exchanges... has anyone tried it? In poloniex there is a 1000+ BTC market of USDT, seems enough to do some trading.

Quote

How does Tether work?

Tethers exist on the Bitcoin blockchain through the Omni Protocol. The Omni Protocol is open source software that interfaces with the Bitcoin blockchain to allow for the issuance and redemption of cryptocurrency tokens, in our case, “tethers”.

Tether Platform currencies are 100% backed by actual fiat currency assets in our reserve account. Tethers are redeemable and exchangeable pursuant to Tether Limited’s terms of service. The conversion rate is 1 tether USD₮ equals 1 USD.

The Tether Platform is fully reserved when the sum of all tethers in circulation is greater than or equal to the balance of fiat currency held in our reserve. Through our Transparency page, anyone can view both of these numbers in near real-time.

Seems like a good idea... you could trade anonymous in poloniex as long as you don't need to get out more than $2500.

shinratensei_

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Expecting it will be like USDT.... But the advantages can be taking from them, the Chinese people are no need for transacting his amount through the fiat.
Is this will give an advantage for bitcoin or will be restricting the competition in crypto. Interesting for watch. Cool

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