Digital yuan could become a competitor to the dollar
Experts say that the Chinese government seeks to compete with the US currency and overturn its hegemony in the markets
Everything indicates that China is preparing the digital yuan so that it is a clear competitor to the dollar and not to bitcoin as many thought it would happen.
An investment banker from the Chinese market, Matthew Graham, conducted an analysis of what is known so far about this digital asset. Based on this, he assured that the Chinese government “considers new technologies a great opportunity to stop the hegemony of the dollar.”
Beijing uses the acronym DCEP to refer to its upcoming electronic payment system with digital money, and, as Matthew Graham noted, has “borrowed many of its blockchain technology details”, including concepts like UTXO.
Despite this, the currency is not expected to have a bitcoin-style public blockchain, but it seems that it will continue to be under the control of its issuer, the People’s Bank of China.
K. Tovar
Source: agencies
