Cryptocurrencies are the engine of the digital economy, according to former Chinese vice minister
Former Chinese Vice Finance Minister Zhu Guangyao urged the political and economic community to focus their attention on research into cryptocurrencies, highlighting that these digital assets are “a crucial aspect for the development of the digital economy.”
Guangyao, who gave a speech At the Economists Forum held in Beijing on September 28, he stressed the need to study “the latest changes and policy adjustments in the world” related to cryptocurrencies, reports the local press.
During his speech, Guangyao not only recognized the potential of cryptocurrencies in the digital economy, but also warned of their “negative impact” and the need to “fully recognize their risks and damage to the capital market.”
The former official highlighted that United States policy in relation to cryptocurrencies has “undergone a notable evolution.” Additionally, Guangyao addressed Donald Trump’s presidential campaign, which presents proposals on the regulation of digital assetsindicating growing global interest in how leading nations are managing this issue.
China, for its part, maintains a strict ban on cryptocurrencies since 2021. This measure was established in response to concerns about money laundering, fraud and financial stability. The ban includes the deprivation of mining, as well as carrying out transactions with cryptocurrencies, seeking to control the flow of capital and protect the national economy.
However, Zhu Guangyao hinted that the landscape could be changing. Recent studies, such as those published by Chainalysis and reported by CriptoNoticias, suggest that Hong Kong could influence a possible reopening of China towards cryptocurrencies. Hong Kong has shown a more open attitude toward blockchain and cryptocurrency innovation, which could serve as a catalyst for policy change in the People’s Republic of China.
Guangyao concluded his speech with a call for in-depth research and proper regulation. “We must be aware of global trends and adapt our policies so as not to be left behind in digital innovation, but also to mitigate the associated risks,” he said.
This article was created using artificial intelligence and edited by a human Editor.