Lack of understanding of the firm and the technology behind it, combined with the proliferate institution of ICOs, is a recipe for disaster that deserves no discussion. The Central Bank has found that over 90% of the Initial Coin Offerings as explained to the public are fraudulent or illegal fundraising. I believe that the Chinese government’s position is to ensure that cryptocurrency remains “controllable” and that it will not pose too much of a threat to the Chinese community. https://www.coinroster.com offers excellent info on this. China is accusing of taking the right steps towards a safer and regulated cryptocurrency world. It’s an aggressive and controversial policy to enforce. Of course, it is by far the best move that the nation has made in many years.
The March toward a Blockchain Nation is part of the discussion of this book.
Governments and central banks from all around the world have struggled to grapple with the increasing popularity of cryptocurrencies, but one thing is sure, they all have embraced blockchain technology.
Despite the crackdown on cryptocurrencies, the blockchain technology continues to gain popularity and adoption in various levels. The Chinese government have been supporting blockchain initiatives and welcoming it as a new technology. The People’s Bank of China are at the forefront of the development and use of digital currencies, and are working with commercial banks in the implementation of their initial trial. Although the digital currency is still being developed, we are not sure yet if it will be completely decentralised and offer features of cryptocurrency. It wouldn’t come as a surprise if it turns out to be just a digital Chinese Yuan given that anonymity is the last thing that China wants in their country. However, the digital currency has been created as a close substitute to the Chinese yuan for further economic development. However, to follow policies under existing monetary laws.