China bans RMB-based tokens
It is not the first time that the Celestial Empire has oppressed the cryptoindustry. The government of China regularly adopts bills that either completely block one or another area of the industry, or impose exorbitant restrictions. For example, today it became known that representatives of government agencies intend to ban all tokens built on the Chinese yuan. Thus, the Chinese national currency will almost completely leave the industry. What consequences to expect in connection with such news? How to respond to the situation? Let’s figure it out.
First, the details of what happened, and only then forecasts and an objective opinion. First of all, it should be noted that the financial regulator of China is behind the possible blocking. This structure mainly issues bills aimed at blocking the crypto industry. However, this time it’s a little different. If you follow our news feed carefully, you certainly know that Chinese teams have been creating the digital yuan for several months. The coin passes many tests and is gradually preparing for its own debut. But the developers are afraid that the already working tokens built on the Chinese national currency will simply not allow their project to be fully revealed. Therefore, in order to clear the market for a new cryptocurrency, China is determined to block all yuan-based digital assets.
By the way, according to local journalists, today’s statement by the financial regulator is very indicative. Since this is the first time cryptocurrencies have been officially mentioned in a government bill. This shows that China is really ready to integrate Blockchain into its own systems. But for now, he does not intend to reckon with competition and wants to become a complete monopoly in the field of digital financial assets. At the moment, the issuance and distribution of tokens related to the yuan is prohibited. The legislative innovation affects individuals and legal entities. A penalty in the form of a fine is considered as a sanction. The amount exceeds the income received by 5 times. That is, the Chinese government is really serious. Let’s look at how our readers from the Middle Kingdom work in the current conditions.
How China ‘s actions will affect ordinary users
In fact, the ban is really big. We do not recommend neglecting government sanctions. There is no doubt that China will quickly put an end to all violations and deal with those who do not listen to legislative regulations. Chances are high that the government will continue to harass the crypto industry. At the same time, developing their own projects and imposing their own vision of issues. This is a unique approach that needs to be supported. Yes, so far China is critical and uncompromising. But it is quite possible that with due interest from ordinary users, the country will reconsider many views. It is noteworthy that government officials representing serious government structures personally urge independent developers to develop Blockchain and related projects.
So China has a lot of potential in the crypto industry. By trial and error, the state will certainly promote the national coin and make our life easier and more convenient. The main thing is to follow all the developments in the cryptoindustry. We regularly publish news updates from the world of cryptocurrencies and technologies. Thank you for attention. Good luck!