Facebook’s Libra electronic money scared China, urging the bank to issue its own money
- Tram Ho
China fears Facebook’s virtual currency Libra will pose many challenges with cross-border payments, monetary policy and even financial sovereignty. In particular, China is concerned about the rise of the US and the US dollar, with a series of economic, financial and even political consequences.
An official of the People’s Bank of China said that Facebook’s announcement to launch its own electronic currency has pushed China’s central bank into force to promote research to create technical currency. own numbers, because Facebook’s Libra virtual currency can pose many challenges with cross-border payments, monetary policy and even financial sovereignty. |
“If Libra is widely used for payments, especially cross-border payments, it can act as a real currency and therefore have a great influence on monetary policy, financial stability and is the international monetary system? ”said Wang Xin, research director of People’s Bank of China (PBOC).
According to Chinese newspaper South China Morning Post, PBOC is paying close attention to Facebook announcing plans to create electronic money and a financial infrastructure project based on the blockchain.
The PBOC is the first major central bank to study digital currencies in 2014, a step to combat electronic money challenges like bitcoin. They established a separate research organization in 2017 to further promote this research activity.
Source : 24h