The Ministry of Science and Technology of China has approved the establishment of a blockchain technology center in the country’s capital. The tasks of the center will include the study of blockchain practices in the interests of industry and the economy as a whole.
Over the past few years, China has become more supportive of the development of the blockchain, and at the same time, it has increased its repression against holders of cryptocurrencies, which the government sees as a threat to financial stability. Since 2021, cryptocurrency trading has been completely banned in China.
In 2019, Chinese President Xi Jinping stated that blockchain will play “an important role in the next round of technological innovation and industrial transformation.” The Ministry of Industry and Information Technology (MIIT) and the Cyberspace Authority of China (CAC) have confirmed several times that China will strive for the widespread use of blockchain in a number of industries.
Recently, Huang Yiping, a former member of the People’s Bank of China (PBOC) Monetary Policy Committee, said that the PRC government should rethink whether a ban on cryptocurrency trading is beneficial in the long term or not. According to the former official, the authorities should reconsider the strict restrictions. Yiping is confident that the permanent ban on digital assets deprives the Chinese financial system of many opportunities associated with blockchain and tokenization.
Earlier, the Hong Kong company Red Date Technology, the technical architect of the national platform Blockchain Service Network, announced the development of a cross-border payment system for settlements in stablecoins and digital currency of central banks. Instead of fiat currencies, stablecoins and CBDC will circulate in the system.
Source: Bits
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