Bitcoin proponents predict that China’s decision to create its own digital currency will ironically drive massive BTC adoption.

China: Libra Dollar Peg Would Harm Sovereignty

As various media outlets including South China Morning Post (SCMP) reported July 8, China’s central bank said it was already in the process of building the digital token. 

The impetus, sources said, came directly from Facebook unveiling the infrastructure for a cryptocurrency of its own, Libra, which will operate outside of the banking system. 

“If [Libra] is widely used for payments, cross-border payments in particular, would it be able to function as money and accordingly have a large influence on monetary policy, financial stability, and the international monetary system?”  SCMP quoted Wang Xin, director of the People’s Bank of China (PBoC)’s research bureau, as querying. 

The PBoC also revealed it had gained permission from Beijing to begin the process of designing the token. Concerns stem from Libra’s threat to Chinese cross-border…

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