As 2021 unfolds, China has emerged as a dominant player in the world of cryptocurrencies, embracing blockchain technology in unprecedented ways. The Chinese government, known for its draconic crypto regulations, has shown a significant shift towards acceptance, launching its own digital currency – the Digital Currency Electronic Payment (DCEP). Not only is China the home to vast majority of Bitcoin miners, but it’s also leading in the race of central bank digital currencies (CBDCs) with its pilot programs in several cities.
Interestingly, despite the stringent regulations on cryptocurrencies like Bitcoin, Ethereum, and others, the country has not shied away from incorporating blockchain technology. The technology is being used across various sectors, including supply chain management, healthcare, and finance. This paradoxical stance of China, cracking down on established cryptocurrencies while pushing forward with its own, is reshaping the global crypto landscape. It seems that the year of the Dragon might indeed be a transformative time for cryptocurrencies in China.
