Topic: JUST IN: Chinese Central Bank to Launch Digital Currency Called "DCEP" (Read 710 times)

There’s no mention about eliminating fiat in the OP and I doubt that they would do that since it has its own convenient usage. I think it is much wiser to have both fiat and the cryptocurrency as part of the commerce of the Chinese people or other countries as well who are planning to do the same. It has its own respective conveniences in using fiat and cryptocurrencies.

I think that the Chinese government are still testing the waters after banning Bitcoin before launching their own cryptocurrency.

I don't think they are trying to replace the fiat system, that would not make any sense if they do it. And I thought they were against cryptocurrencies? Maybe they did all that because they know that without banning every other crypto there will be no chance for their state backed crypto to gain people's interest. But, with what they have done they will be able to get people's interest to the new cryptocurrency they have developed.

As for replacing fiat, that's not going to work. Some people make cryptocurrency seem like it's the solution to the economic problems we are having, while that's not the truth. If the world should switch to crypto i don't see any difference between what will happen to it than fiat, it's still going to face the same problems and maybe worse. It's best that we continue to make use of fiat. Everyone still have their own opinion.

An authoritarian's wet dream. Even currently they already have a lot of restrictions when it comes to use of CNY with plenty of regulations concerning withdrawals. This would make control of personal finance pretty much total. I can't see why some people see this as a positive development.

That's why they can't regulate Bitcoin as they will have no control of it, which is on our part is a good thing, as we don't want to be controlled by someone, the disadvantage is that you will lose your fund if you don't know how to handle it and no once can protect your investment.

China was for sure have seen the advantage of blockchain, they just don't want their country to be involved in Bitcoin as they didn't develop it, they want to benefit with crypto at their own interest so they made their own coin.

Stablecoin is like a money generator meanwhile bitcoin is an uncontrollable currency and that's bad for the government more specifically a more restrictive government. Even facebook has seen the potential behind any stablecoin and it is to be expected if China is trying to compete in that field, with the (might be coming) cancellation of Libra due to the harsh government backlash China might take up huge portion of the overall market share for its own DCEP if released internationally otherwise it'll only be available for Chinese people and maybe to fulfil the desire of chinese people towards cryptos.

whereas before the Chinese government banned the use of bitcoin. but now it will instead make its own crypo currency. maybe China has realized that cryptocurrency and blockchain are new breakthroughs in the financial system and technology. and many benefits to be gained when we can apply blockchain and crypto technology well. we can reduce the use of fiat money. and in my opinion the presence of DCEP coins is also to rival facebook libra coins. because both are included in the stable coin. and I don't think the presence of this DCEP coin will have an impact on the price of bitcoin.

The introduction of DCEP by China can mark a new timeline in the history of cryptocurrency though many will surely question this latest addition to the roster because definitely this is a state-sponsored and controlled digital currency. This is not actually the first as we already have the Petro by the government of Venezuela which failed to make a big fire and a noticeable splash in the global market. I am sure that before coming to this launch, China bureaucrats planned well for the success of this digital asset and they can easily command all the resources available on their hands to make sure that the whole world notices.

So how will this directly and indirectly affect Bitcoin? I am sure we are already speculating whether DCEP can be positive or negative to Bitcoin. In case, this digital currency can also be available in the normal cryptocurrency exchanges, this there is a possibility that this will in fact be helping Bitcoin and vice versa. There is really a huge market all waiting to tap in the whole of China (as well as millions of Chinese overseas) for cryptocurrency but its development is very hampered with the decision of the government in 2017. Now, am hoping that the China government will be using this platform as a pretext to open up the country for Bitcoin.

I think all developing countries that can receive a lot of the technology created should be able to follow what the Chinese government is doing because basically blockchain and bitcoin technology can be used for many developments that can make the country more advanced and more developed.

Exactly, hence all the "blockchain not Bitcoin" language. DCEP will give them much more control over their currency than traditional CNY ever could. That includes cutting off access to crypto exchanges and other capital control measures.......

I wonder how they will implement this if they still have their fiat. I'm assuming it can only be bought using their fiat so that eventually DCEP can replace it.

I'm not thrilled. If China succeeds in doing that, other governments could follow suit.


I think that's pretty much the plan. Completely phase out paper money for this crypto. Together with the extensive surveillance and social credit, the government gains near complete control of people.

Given the crypto scene began to grow earlier in the decade and also the country here is China, it could possibly be a case of a team studying crypto over the years and giving the government inputs on how they could use it. A big factor here would be the currency getting tied up with the social credit system in China which is known to involve every citizen of the country and again, a leverage to monitor the entirety of the nation's (partial?) economy.

China become most competitive country how to increase their economic digital currency, they are looking many way how to make their country on the top with giving space for bitcoin and altcoin legal currency payment, after announce by China president now they have adopt new coin for listing to their public, not only China citizen invest with new china coin but many investor in the world will invest there.

Unlike many projects that we see in the market a government cannot really rush the creation of its own cryptocurrency, as you say it is probably going to take them a few years before we get to see what the Chinese government has developed and the characteristics of their coin, but if the coin they create is as restrictive as I believe it will be then no investor is going to want to hold those kind of coins.

It seems that governments are unable to grasp that the success of bitcoin comes from the freedom it gives to the people, we are not going to use a cryptocurrency just because it is approved by any government, we will use a cryptocurrency because it benefits us and not them.

China has been so competitive in all aspect, they really want to be the number in everything, they like Bitcoin, they love the idea of blockchain but what they can't accept is that USA has control over it and we all know that USA is their biggest rivalry. So, instead they develop their own crypto for their own benefit.

First of all, china understands the true power of bitcoin and blockchain technology. Secondly, it was blockchain that has been recently praised by the Chinese president and this resulted in an increase in the value of bitcoin. The central bank of china is working on its own digital currency. The most important thing that you need to know is, china wished and tried to take control of bitcoin but failed.

Do you realize that China has been linked with this system for a long time, amazing, now they have come to the point and Blockchain is the main thing for them in recent time, so they are going to create an own digital currency, I think this spet is really fruitful for the whole economic system, Now another country will come to this stage and in this way, this system will get improved and reliable on the whole world, so it's clear that China is in the full swing towards blockchain system, and it's a huge positive impact over the whole globe because all over the world, people will see a government's new step regarding cryptocurrency.

China's latest statement is not for bitcoin, but they focus on blockchain technology and their own cryptocurrency, this is more analogous to: China knows they cannot block bitcoin in their country, and they take decisive steps to defend the value of the yuan from crypto activity in a manner thorough. They wrap it still in the form of a bitcoin ban corridor as a form of prevention, they continue to prepare the appropriate pattern.

I confused with China government where last three days they have made announce for listing and adopting bitcoin as legal transaction payment where announce by China president, but last day I got news correct or not with China announce for banned bitcoin as transaction and investment assets, will China playing with bitcoin issues and get profit with bitcoin moment with lower and higher price?

Im. Reply to the OP, i don't think that China is working on it within the past 6 years in my opinion. Somehow it might ne true, i'm just neutral here and if ever DCEP is their new digital currency i'm sure those countries that knows cryptocurrency will soon make their own digital currency to be specifically use in that particular country.

Bitcoin as a currency and blockchain has to be taken as two different technological innovations and the Chinese government is not planning to accept the currency aspect of the technology but they are taking the blockchain aspect and they will be creating their own centralized currency on top of the blockchain and they will not allow a competitor like bitcoin to be traded in Chinese exchanges.