Circle CEO Jeremy Allaire said a Chinese cryptocurrency could help the country bypass the Western banking system.
Circle CEO discusses the potential of Chinese cryptocurrency
A few days ago, during the Global Coin Research podcast, Jeremy Allaire said China was working on a digital currency based on the renminbi. According to the Circle CEO, if the digital currency can be improved, it can eventually bygo Western regulations on settlements and payments. Allaire said China is working on digital currency. The CEO of Circle commented on the Chinese digital presence:
The digital currency version of the renminbi, which works on online software platforms, really creates an opportunity for Chinese and Chinese companies and bypassing the western banking system.
Currently, different central banks are working to extract their digital assets, supported by local central currencies. Some of these countries include Britain, Canada, Norway or Uruguay. These digital assets are known as Central Bank Digital Currencies (CBDC) and are expected to become very popular in the future.
Circle talks with CEO about Chinese cryptocurrency
Allaire also announced that Circle is currently following different developments in the Chinese market, including a digital renminbi. Moreover, he said, this virtual currency will play an important role in increasing China’s influence on the world. Regarding this project, Allaire said that “the internationalization of the yuan, the wider concept of belt and road initiative, and China’s desire to expand its role as an anti-trade… I think it’s a natural way to have digital money,” he said.
China is also working on trade expansions in Central Asia, Southeast Asia, Northeast Africa, and Europe. The goal is to launch new commercial channels in many different regions between China and its neighbors. A few days ago, we wrote that Tether would use a Belgian bank to raise a yuan-backed stable currency. This will also be very positive for Renminbi, which will increase its influence in China and other countries.