China is about to become the first world’s country to issue domestic cryptocurrency. The government plans to provide the digitized currency to commercial banks and other institutions, then those will transmit to the public.

The President of China Xi Jinping has expressed his support for the blockchain technology and development of the first state-owned cryptocurrency. He revealed that the government is ready to invest in the advancement of blockchain technology and called for the acceleration of technology development. The President remarked that digital finance, Internet of Things, intelligent manufacturing, supply chain management, digital asset trading should be the target fields for the adoption of the new technology.

This is a big step toward the crypto industry for China. For years crypto technologies were viewed with skepticism in this country. This is evidenced by the cryptocurrency ban which is still in effect.

It worth noting that despite the digital currency is still formally banned in China, the government passed new crypto regulations which will come into effect on January 2020. The regulations introduce new standards for the function of cryptography.

However, such positive announcements and developments in relation to the blockchain technology do not necessarily mean that China supports Bitcoin and other similar cryptocurrencies.

Perhaps, China’s Bitcoin ban might be just one of the security measures which the government sees as necessary before the launch of its own domestic cryptocurrency.

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