Home Business Regulation Implementation of crypto law begins in China as CBDC sets to...

Implementation of crypto law begins in China as CBDC sets to launch


As part of preparations for the launch of the Central bank digital currency, China has started implementing crypto law governing cryptographic password.

The law is, however, aimed at enabling the development of the cryptography business and ensuring the security of cyberspace and information.

The crypto law has been passed since October 2019 and slated to begin implementation Jan1. 2020.

According to reports, the law makes provision for divided password into three categories which are core passwords, common passwords and commercial passwords.

This law will enable a more secure basis for issuing digital RMB and facilitate China’s transition to blockchain technology.

Following the implementation, the government would be in charge of regulating core passwords and plain passwords and would oversee industries in the area of commercial passwords.

A report from China read that this is to prevent data from being tampered with as the development of blockchain technology cannot be separated from the progress of cryptography technology.

Alongside this development, the Chinese government is said to be stepping up efforts to crack down on cryptocurrency assets such as bitcoin.

China continues to push for CBDC launch

With no precise date set for the launch of China’s digital currency, it continues to intensify effort for the launch of the digital yuan.

Towards the end of 2019, the People’s Bank of China (PBoC) confirmed it would start live testing of the currency with selected banks before 2020 began.

However, its launch will make it be the first state-backed cryptocurrency on the world stage as the centralized digital currency has been hailed as a potential game-changer in the world of finance.

Experts around the world, in their opinion, have claimed that the Chinese digital currency could challenge the global domination of the US dollar.

In their effort to overthrow the US dollar from its global domination, China is likely to launch blockchain-themed exchange-traded funds.

Chinese President Xi Jinping also said last year that the country should accelerate the development of blockchain technology as a core for innovation.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Must Read

Amazon backed platform to offer Bitcoin trading services in Africa

Chipper Cash co-founder and CEO Ham Serunjogi has celebrated the conclusion of a financing round that has provided his company with $30 million. In...

Bitgo Plans to Launch Wrapped Bitcoin on the Tron Blockchain

Members of the crypto ecosystem will soon be able to leverage WBTC via the Tron (TRX) network. Just like the tokenized BTC created using Ethereum’s ERC20...

Ethereum’s Long Term Chart Is Extremely Simple To Read

The weekly Ethereum chart, as opposed to the daily chart, is simple and concise. There are 2 simple...

US Department of Transportation Says Blockchain Has Many Applications For Unmanned Aircraft Systems (Drones)

Blockchain technology could assist with adjusting and improving current technical challenges in the expanding business of commercial drone delivery, said the US...

Security tokens, blockchain settlement draw interest from institutions: MIT Bitcoin Expo panel

Amid growing competition between providers, institutions in the traditional finance space are looking at blockchain as another way to offer value to...