China Officially Cryptic

Discussion in 'Digital Currencies' started by JulieW, Sep 6, 2020.

  1. JulieW

    JulieW Well-Known Member Silver Stacker

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    Frrom Forbes, via ZH

    It’s finally happened. A major worldwide government has just bestowed a huge vote of confidence and legitimacy onto the world of cryptocurrencies. China, in an unprecedented move, just announced that they are officially adopting a certain cryptocurrency as China’s official coin!

    The government of China just informed us that they have chosen a preferred firm for the purchase and marketing of their new coin - YuanPay Group. The sales of China's coin officially started September 5 of 2020 and currently these coins can be bought only from YuanPay Group.

    In fact, China deputy minister of finance, Liu Kun, informed us that their new official coin starting price is just ¥0.12 cents!

    ! 1 Chinese Yuan equals 0.14 US Dollars

    That’s right, their coin is incredibly inexpensive in comparison to most other coins out there. Bitcoin for example trades at ¥65,366.84 at the time of this writing, and Ethereum, trades at around ¥1,362.76.

    https://valgrants.github.io/sds/?campid=10876917559&creative=460648878415&placement=www.zerohedge.com&target=/news/business+news/financial+markets+news
    The article continues with a buyer's guide and process, which makes me suspicious that this may be scam flavoured.
     
  2. alor

    alor Well-Known Member Silver Stacker

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    this seems not the same as digital Yuan, that is currently on trial test
     
  3. inmizu

    inmizu Active Member

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    Pardon me for being That Guy:

    it's not a crypto. ' . . . the Chinese government has begun a pilot program for an official digital version of its currency.'

    ' . . . would also offer China’s authorities a degree of control never possible with physical money.'

    https://www.bloomberg.com/news/articles/2020-06-01/china-is-making-cryptocurrency-to-challenge-bitcoin-and-dollar

    But it's unsurprising that the MSM would report it as a crypto.

    These instruments are a form of quantitative easing. So, whereas 'Australian dollars' exist both physically and electronically, these units exist only electronically. But they are simultaneously units of the sovereign Chinese fiat.

    And if you're still reading: check out the shite blizzard sparked by the launch of XRP, whose units are largely controlled by a foundation -- centralised. Many crypto geeks, including me, don't see XRP as a crypto. But since then, a tragic number of crypto-like instruments have come to be loosely described as 'cryptos.'





    Not 42-coin but!
     
    Last edited: Sep 7, 2020
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  4. LiverBird

    LiverBird Well-Known Member Silver Stacker

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    If it ain't decentralised it ain't Crypto!
     
  5. dozerz

    dozerz Well-Known Member Silver Stacker

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    that url isnt forbes, fake news.
     
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  6. inmizu

    inmizu Active Member

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  7. wrcmad

    wrcmad Well-Known Member Silver Stacker

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    Of course it's a scam - it's ZH.
     
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  8. inmizu

    inmizu Active Member

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    ' . . . a centralized economic governance model designed specifically to allow central-bank-like quantitative easing and quantitative tightening within set tolerances.'
    https://bitcointalk.org/index.php?topic=5249685.0

    Is it something the Gubmint puts in our water? Were they not breast-fed as babies? Ya take your eyes of 'em for one second, and it's: 'Oh -- that libertarian thing on your bench in the garage? Yeh, I put a centralized economic governance model in it for you!!'
     
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  9. willrocks

    willrocks Well-Known Member Silver Stacker

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    It probably should be referred to as the Digital Yuan rather than a cryptocurrency. The centralized design puts it at odds with the vast majority of other cryptocurrencies.
     
  10. willrocks

    willrocks Well-Known Member Silver Stacker

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    https://www.bloomberg.com/news/arti...ryptocurrency-to-challenge-bitcoin-and-dollar
     
  11. crewy

    crewy Active Member

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  12. leo25

    leo25 Well-Known Member Silver Stacker

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    yawn.... So for all practical purposes, more or less the same as it is now.
     
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  13. Jason1

    Jason1 Well-Known Member

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    Likely just china coming up with a money making scam for the government.
    use the word crypto in there, call it a countries official crypto and people even from the west will buy it thinking its legit, forgettting its controlled by fucken communists lol
     
  14. inmizu

    inmizu Active Member

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    'yawn.... So for all practical purposes, more or less the same as it is now.'

    Even worse, Leo!

    We saw hints of this in the 'bail-ins' of the 2013 Cyprus crisis: Gubmint just takes control of your bank account. But at least in this case there is still physical currency changing hands down at the market.

    But the closer you creep to cashlessness, the more control the Gubmint has. The wallets of the crypto in question here are 'permissioned' wallets, and the Gubmint can manipulate the funds in those wallets in a range of manners at a moment's notice.

    Heck, let your mind run riot: a traffic-light camera could 'infringe' your newly-stolen vehicle, and the fine could be deducted from your wallet in a millisecond. Taxes likewise. Social-behaviour fines. It's Orwellian -- which is why 'real' crypto geeks (like me and my crowd) make such a fuss about them.
     
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  15. leo25

    leo25 Well-Known Member Silver Stacker

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    ^ correct me if I’m wrong, but I was under the understanding that China is for the most part a digital payment society? Doesn’t everyone use either Alipay or Wechat pay? That’s why I said this new crypto currency is more or less the same as what they are using now.
     
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  16. alor

    alor Well-Known Member Silver Stacker

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    digital currency is on devices even without network connections, for people in remote areas
    for Ali and Wechat pays, need to have network/wifi
     
  17. inmizu

    inmizu Active Member

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    ' correct me if I’m wrong, but I was under the understanding that China is for the most part a digital payment society? Doesn’t everyone use either Alipay or Wechat pay? That’s why I said this new crypto currency is more or less the same as what they are using now.'

    As willrocks succinctly notes just above: 'It probably should be referred to as the Digital Yuan rather than a cryptocurrency. The centralized design puts it at odds with the vast majority of other cryptocurrencies.'
     
  18. inmizu

    inmizu Active Member

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    'Any ideas how or if it will tie in with other crypto’s (ethereum/neo/eos etc)? Looks like they’re targeting its use during the 2022 winter olympics.'

    Two first thoughts:

    One: you will or will not have to, you will or will not choose to, ante up for KYC/cavity search.

    Two: beyond that, think of every single thing that is electronically traded as just an 'instrument': paper bullion, Bitcoin, Permissioned-Wallet Coin, XMR, Digital Potatoes, Jojoba-Bean Futures

    Then, crewy, you go out lookin' for an exchange that trades it.

    And there's a thing here: an instrument is, of course, only ever traded against something else. So, for example, crap exchange has Crap Exchange Coin. So maybe the only Digital Yuan pair you can find is DY-CEC. So you gotta buy CEC to trade Digital Yuan with.

    It's genius! Soon-to-be-worthless CEC* is traded against Who-Knows-What-The-Gubmint-Gonna-Do? Digital Yuan, while behind the scenes, the exchange is selling both as fast as they can** without panicking the market.

    *Which you just bought with Bitcoin.
    **For Bitcoin
     
    Last edited: Sep 10, 2020
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  19. leo25

    leo25 Well-Known Member Silver Stacker

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    You can go one step further and just say it's no different from what they have now, which is for the most part a completely digital currency that is tracked by the government. There is no need to add "crypto" or "digital" to it. These articles are time wasters.
     
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  20. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

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    I haven't really studied in detail but I believe it's different. For "digital currency", you can still withdraw paper notes and tracking transactions take time. For crypty yuan, your name and ID is tied to the crypty units and everything is in the database. Key in your ID and all the transactions you did, who you paid, who paid you, what you bought in the last 10 years can be generated in a report in 10 seconds.

    If I'm not wrong, crypty yuan may not be convertible to bank notes or other currencies, so it's forever tracked by the government. Of course, there are ways about it, you can buy gold or silver bars and sell it for dollars.

    In a way, it's like amusement park token, once you change "real money" for the token, it can't be used anywhere else.
     
    Last edited: Sep 10, 2020

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