The Whole World Is In the Chinese Crypto Menu. All Taste Just Like Guo Bao Rou. TOON #15
Chinese cuisine, Chinatowns, Chinese goods... Sometimes it seems that the whole world has turned into a Chinese shop. The digital market is no exception. If you delve through the history of this or that asset or project, you will surely come across a Chinese trail. It will lead either to the company, or to a businessman, or to a state organization, originally coming from the Celestial Empire.
Even the fact that the circulation of virtual assets is prohibited on the territory of the most populated country in the world only suggests that the Confucian ideology dictates to ruthlessly discard everything that is unnecessary, which makes it difficult to reach the goal. And China seems to have one goal - to take the first place in the digital race. And as soon as the state coin supported by the second most powerful economy in the world appears, this goal can be considered achieved.
It may repeat what had once happened to the United States and the dollar in 1944 when the whole world agreed to accumulate reserves and pay in the US currency. This was preceded by the Second World War. Today, there are also battles, but on other battlefields - trade wars repeat the history. Therefore, ingesting a Chinese dish in a snack bar in the nearby street, think about the fact that at this moment, China is ingesting you.
Is China Cleaning Up its Digital Market?
China came to grips with a problem of fighting against the crypto business on its territory. But this does not mean that the Celestial Empire has lost interest in this segment of the market. Quite the contrary. Chinese capital owns crypto exchanges and blockchain companies, invests money in startups. But all this, as they say, is the goods for export. Inside the country, there are only bans. What processes in the external and internal markets gave rise to the Great Chinese Ban?
To a degree, those experts who believe that the purpose of China's ban policy is to clean up the country of unwanted and uncontrolled cryptocurrencies are right. The economic giant benefits from the collapse of the digital token market today to enter it with its coin tomorrow. After all, the group to develop the homegrown Chinese cryptocurrency continues to operate. The intra-economic free from competitors is needed in order to develop the project. The exchanges are necessary the world trade infrastructure. Blockchain- to create a system of circulation and redistribution of assets.
If tomorrow there is a powerful digital Yuan in the weak crypto market, then the virtual financial industry will receive not just a boon, but a kick of a cosmic scale. The main competitor of the Celestial Empire - the United States - will only have to eat their hat (read more)
How Yuan Will Pave The Way for The Real Oil Cryptocurrency
In 2018, global economic growth seems stable at 3.1%. However, negative macroeconomic factors, such as geopolitical instability, a decline in the credibility of traditional financial institutions, and a tightening of the monetary policies of developed countries will lead to a fall in the global GDP growth rates to 2.9% by 2020. Moreover, if one of the risk factors increases, then there is a chance that the development rates may fall to 2% or even lower. And this is the threshold of a global recession. The probability of such a result is low; WB experts estimate it at 21%. But the fact remains: such a result is possible, and the countries-suppliers and buyers of energy resources are preparing for it.
According to Carl WEINBERG, the chief economist and the executive director of High Frequency Economics, China is forcing Saudi Arabia to cross over to yuan in oil payments. Soon, the Celestial Empire will be in advance of the United States in terms of raw material purchases and will become a headline player in the market. Today, China accounts for 17.3% of oil exports, the European Union – for 27%, and the US - 16%.
“I believe that the price for oil in RMB is coming soon,” WEINBERG said. “And as soon as the Saudis accept it, the rest of the world will follow them.” (read more)
Grand Chinese Design: Blockchain Regulation as Move for Crypto Yuan
The Chinese regulators has imposed a ban on the circulation of major digital assets, eliminating a competitor within the country such as bitcoin. In January 2018, the Legal Affairs Department of PBoC banned providers from offering services for transactions with digital assets, obliging them to strengthen monitoring and close payment channels if they are suspected of crypto-trading. Also, soon they plan to curtail the activities of all miners in the country. Recall that in Sichuan province is still concentrated most of the computing power of bitcoin - about 80%, which contributes to the cheap hydro and coal fired power generation.
However, cryptocurrency trading has not been completely banned for the population, in addition, the national blockchain system is being actively developed. All this leads to the idea that China is probably preparing a reliable and centralized blockchain platform for the national cryptocurrency (read more)
