Jack Lee, founder and managing partner of HCM Capital, a private equity firm, believes that the Central Bank of China will issue its own digital currency in three months.
Jack Lee suggested that the new currency from the People’s Bank of China (PBOC) is ready, and in the future the Bank will use it to strengthen capital controls in the country. Li explained that the NBK already tracks cash flows using serial numbers on banknotes, and the blockchain will help to do this more efficiently. In addition, China has developed a hybrid system of electronic payments in digital currency that combines the properties of the existing payment and banking infrastructure.
“I think we will see a Chinese stablecoin very soon. It is quite possible that in two or three months,” said Jack Lee.
However, at the end of September, the NBK said that the launch date of the digital currency has not yet been set. At the same time, the Swiss Secretary of state for international financial Affairs, Daniela Stoffel, believes that the launch of the Chinese stablecoin will not be a surprise to anyone. She stressed that China is setting a trend for other countries that are also starting to think about creating their own digital currencies.
“Governments of different countries have gradually become aware that blockchain can be used both at the state level and on an international scale,” said Daniela Stoffel, adding that before implementing blockchain, it is necessary to solve problems related to money laundering.
Recall that in October, the people’s Bank of China opened several vacancies for technical specialists in order to develop and launch its own digital currency. In addition, last month, the NBK presented a list of 11 types of hardware and software that local companies can use in the field of blockchain and financial technologies.