Altcoin News: Confirmed — China’s National Digital Currency Will Be Similar to Libra
A senior official from the Central Bank of China revealed new details of the digital currency being developed by the agency, noting that the principles of its operation will be largely similar to Libra from Facebook.
According to Reuters, Mu Changchun, deputy director of the payment and settlement decisions unit of the People’s Bank of China, delivered a lecture this week on the regulator’s payment initiative. He confirmed that digital currency will be able to be used on large money transfer platforms such as WeChat and Alipay.
According to Mu, the decision of the People’s Bank of China to develop its own digital currency is due to the desire to protect “monetary sovereignty and legal currency status.”
In addition, the official pointed out that the digital currency issued by private corporations could cause large losses for users if the issuing organization suddenly goes bankrupt. On the other hand, the digital currency of the Chinese Central Bank has no such risks and is comparable in terms of reliability with paper money, and can also be used even without an Internet connection.
The national digital currency of China will ensure the safety of users’ personal data, but will not allow money laundering operations, Mu assures.
Earlier it was reported that the People’s Bank of China could issue its digital currency before November 11, but the department itself was urged not to believe the rumors.
Author: Marko Vidrih