Chinese technology giant Huawei has announced a strategic partnership with a division of the People’s Bank of China (NBK). The latter is studying digital currencies. This is reported by The Block.
The collaboration is focused on fintech research. Other details have not yet been disclosed.
In the summer, Huawei CEO Ren Zhengfei supported the NBK's intention to issue its own digital currency. He said that China is able to create an analogue of the Libra coin.
According to the head of the research unit of the Chinese central bank, Wang Xin, Libra is a threat to the traditional financial system. In July, he announced that it was a coin from Facebook that could push the NBK to accelerate the release of its own digital currency.
In August, Mu Changchun, deputy head of the payment unit within the NBK, noted that the prototype of the digital currency was already ready, and the research group worked out the blockchain architecture for it.
Recently, Vice Chairman of the China Center for International Economic Exchanges, Huang Qifan, said the NBK will be the first central bank to issue a viable digital currency in the world, while the Libra project will fail.
Huawei has long been interested in blockchain solutions. In 2016, the company joined the Hyperledger blockchain consortium, and in 2018 announced the launch of a blockchain platform for creating smart contracts.