Forex Reform Outcomes May Change How Crypto Is Viewed In China

By Emily Rys | December 25, 2019

China has been showing signs of amendments to how the nation is viewing digital coins, nominally Bitcoin (BTC), as it is planning to reform its forex markets.

Reported by Reuters on December 24, a new research project will be carried out, in order to support the growth of the blockchain cross-border financing pilot platform of Beijing.

The platform, which has been previously introduced in March 2019, is at the moment in its testing phase across 19 different provinces throughout China. 

“We will gradually expand the scope of the pilot and the application scenarios of blockchain technology in cross-border financing and macro prudential management. At the same time, (the government) will push forward a prospective study on foreign exchange reforms to deal with cryptocurrency and explore the construction of the foreign exchange regulation and technology system under the new situation.”  Lu Lei, deputy director of the State Administration of Foreign Exchange claimed.

The comments have gathered numerous feedbacks, since China is investing resources in rolling out its central bank digital currency, which will bear no resemblance to Bitcoin. 

Lu has not made any remarks regarding how the outcomes of the new reforms will leave an effect on the status quo. 

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