With the rise of the bitcoin, a revolutionary decentralized cryptocurrency with an anonymous creator, there have been many spicy conspiracy theories attached to it. While some emphasize that NSA is behind it, there are rumors that China created bitcoin to destabilize the US Dollar.
It is an interesting historical event that the price of bitcoin hiked heavily following the acknowledging remarks of the Chinese president about the underlying technology of bitcoin i.e. blockchain. After the remarks ‘seize the opportunity’ referring to bitcoin, the price of the currency went up by 35% which is a very significant increase.
China has also in the past openly admired blockchain and encouraged its use to detect crimes and illegal activities. It is no hidden fact that Mark Zuckerberg of Facebook informed Congress that China is trying to steal currency leadership from the US as the international currency remains USD. China also has been working to create its own cryptocurrency and wants it to be a worldwide standard for the exchange of money.
It has been in news on several occasions that the People’s Bank of China is mapping its currency Yuan to a cryptocurrency which is a huge step. Considering the trade battle between the two superpowers, it’s no surprise that the race to own the right of being the leader in the Fintech world is on. As the cost of electricity in China helped it to lead the mining world of bitcoin, there have been proper mining pools being established which makes the country own the biggest share of bitcoin miners.
Although it’s easy to conclude that it was a nationwide effort by a group to get hold of the global currency dealings, one has to be rational in analyzing China’s stance on the whole revolution. One may find them keener about the ledger and the technology revolving bitcoin rather than the concept of becoming leaders.
China seeks to make valuable solutions using the blockchain methodology which can be helpful to the global community in the long run if it serves the purpose of crime and illegal activity catching. However, the question remains that will the blackfish of the global world let something like that become part of the mainstream protocol or the monopoly of the underworld. Only time will answer who wins this battle.
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