Bank of China to See Crypto as Risk to Yuan

PBoC said cryptocurrencies will be one of its top priorities this year, in an effort to protect the national currency
29 March 2018   530

The People'sĀ Bank of China said that working with crypto-currencies is one of the priorities of the department for the current year as part of its policy to protect the national currency.

The People's Bank of China held a conferenceĀ this Thursday, which discussed the development of the country's monetary system.

Although the vice-governor of the PBoC, Fan Yifei, positively comments on the bank's success in researching and developing its own digital currency, at the same time he calls crypto-currencies one of the three biggest risks to the integrity of the yuan.

To implement its policy in this area, the PBoC intends to strengthen the regulatory requirements for representatives of the cryptocurrency industry both inside and outside the country.

Although Yafei did not name specific measures that his department is going to undertake, the corresponding decision fits into the broader program of China to combat financial products that could shake the country's financial stability.

It agrees with the comments of the previous head of the PBoC, Zhou Xiaochuan, who in early March criticized the market speculation using the crypto-currency and the risks they bear for China.

South Korea to Invest $1B in Blockchain Startups

Blockchain is a revolutionary technology and an integral component of the Fourth Industrial Revolution, local authorities believe
19 February 2019   93

Until 2022, Seoul authorities are investing 1.2 trillion South Korean won ($ 1.07 billion) in fintech startups working with distributed ledger technology. This is reported by CoinDesk.

Funds will be allocated for the development of new technologies through the Seoul Innovation Growth Fund, created last year by local authorities. The foundation will support startups working on various solutions, including those that are in the early stages.

In the first half of this year, the Fund will allocate 13.25 billion won ($ 11.75 million) and 8.4 billion won ($ 7.45 million) in the second half of 2019. For the Korean authorities, the blockchain is a revolutionary technology and an integral component of the Fourth Industrial Revolution.

The officials also noted that the average investment per start-up at an early stage of development in South Korea is almost seven times lower than, for example, in Silicon Valley.

Last fall, Seoul authorities submitted a five-year development plan for the blockchain industry.