- Zuckerberg’s warning to Congress that China could take over the finance game is slowly becoming a reality.
- The People’s Bank of China and Huawei have inked a new partnership in order to further the development of blockchain technology and potentially help the nations own digital currency.
- This all comes a week after Chinese President Xi Jinping praised the tech behind bitcoin but not the currency itself.
As you will all know by now, in October, the CEO of Facebook, Mark Zuckerberg stood before Congress and delivered a warning to the regulators before him. The warning was pretty simple to - get behind digital currency Libra or risk losing “financial leadership” to China.
This warning seems to be coming to reality quicker than we thought. In the weeks since the hearing, Chinese president Xi Jinping has urged the country to establish leadership for blockchain tech. And now, the People’s Bank of China has been very quick in speeding up its plans for a sovereign digital currency.
At the start of this week, an early partnership with Huawei was announced by the central bank. This unlikely partnership was inked in order to develop blockchain technology. People’s Bank of China spokespeople also went to visit Tencent to look into AI security for payments.
According to CCN, one insider said, “It could fast track the launch of China’s digital currency.”
In a statement to Congress last month, Zuckerberg went to encourage the US lawmakers to support the ecosystem for cryptocurrencies. He further went onto say that America not making any moves themselves means that China could get the upper hand in the financial game.
“While we debate these issues, the rest of the world isn’t waiting. China is moving quickly to launch similar ideas in the coming months… If America doesn’t innovate, our financial leadership is not guaranteed.”
It will be interesting to see how this situation with China and the financial world plays out. For more news on this and other crypto updates, keep it with CryptoDaily!