Published on October 13th, 2017 | by bitcoin0
Need for Centralised State Cryptocurrency
At a meeting hosted by the International Telecommunication Union this week, Yao Qian, the Director of the Digital Currency Research Institute under the People’s Bank of China, reportedly boasted about the potential of a state-owned digital currency, while suggesting that there is an inherent lack of value anchoring public cryptocurrencies like bitcoin.
According to a report by Yicai, Qian also framed a state-issued digital currency as a way to stabilize domestic fiat currency, while better securing country’s financial status.
Although the publication made clear Yao’s comments reflected his own opinions, the remarks nonetheless reveal how the country may choose to direct the future development of digital currency.
Launched by China’s central bank in June this year, the Digital Currency Research Institute focuses on R&D related to blockchain-based digital currency.
“The nature of a state-owned digital currency is a government liability issued to the public,” he said.