PBoC vs. US Federal Reserve - Will China outpace the US in central bank cryptocurrency adoption?

Colleagues, last week we reported that the US Fed’s Jim Cunha, Vice President for Treasury and Financial Services, speculated that the US central bank could issue a digital asset within the next five years. By contrast the People’s Bank of China is aggressively entering the R&D phase of a planned launch of a sovereign digital asset in the next 2-3 years. Herein we see two very different perspectives on cryptocurrencies. The US is understandably concerned about security of the underlying Blockchain technology. The PBoC is actively hiring technical staff to build and test a cryptocurrency and has filed 41 patent applications. This situation has many similarities with the two countries’ race to adopt 5G telecommunications infrastructure. Bottom line: Despite a highly centralized bureaucracy and conservative political system, China seems poised to be the move mover when it comes to central bank cryptocurrency. Do first movers necessarily have a competitive advantage? When it comes to a sovereign digital asset this trend may not be valid. Post a comment today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/)