The ex-official of the congressional committee of China recently trolled Facebook’s proposed cryptocurrency Libra and said: “I don’t believe Libra will succeed”.

Undeniably Chinese congressional committee is highly praised by the crypto community despite it hasn’t specifically announced to support Bitcoin or any crypto in general. In fact, the country has said that it is launching a Central Bank Digital Currency, called Digital Currency Electronic Payment (DCEP) and recently announced its cryptographic law, focused on password and other security frameworks. With all these consecutive announcements related to the digital currency, the crypto community speculates that the country’s pro-blockchain stance is the reason behind the price surge in Chinese digital assets including Tron (TRX).

China’s National Cryptocurrency – DCEP

According to a Chinese media report, a former high-ranking Congressional official, Huang Qifan appreciated China’s move to issue the country’s digital currency ahead of Facebook’s Libra. He believes that China is the first country to issue its digital assets and said;

“I think technology is getting more mature, and it is highly likely that China’s central bank will be the first to issue a national digital currency.” 

He also asserted that the country’s own digital currency will likely prevent private companies from entering the financial landscape. He referred to Facebook’s Libra and said “I personally don’t believe Libra will succeed, by adding;

“Some companies attempt to challenge sovereign currency by issuing bitcoin or Libra. The decentralized blockchain-based currencies are not supported by sovereign credit and hard to become real wealth.”

Qifan is a former deputy director of the Congressional Financial and Economic Affairs Committee who spoke at the Shanghai Bund Summit following Chinese President Xi Jinping’s constructive views on blockchain technology. In fact, Xi emphasizes the country’s leaders to consider blockchain as innovative technology and said, he would encourage China to seize the opportunity in the blockchain industry.

Interestingly, China’s digital currency will be known as Digital Currency Electronic Payment (DCEP). It may not be similar to Facebook’s Libra but Chinese officials often compared it with Libra in previous reports. Moreover, Changchun Mu, the ex-official of Payment Systems will spearhead the development of DCEP as he was recently appointed by the country’s central for the role “head of the research institute”.

“Twenty four countries are currently developing the distributed ledger technology through more than 90 multinational companies,” Huang noted. 

Image Source – Shutterstock

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