Securities Times: Digital currency is ready to go, are you ready?

When people thought that the digital currency was "the virtual world of the Internet", on August 10, the Deputy Director of the Payment and Settlement Department of the People's Bank of China, Mu Changchun, at the 3rd China Finance 40 (CF40) Yichun Forum Said that "the central bank's digital currency can be said to be ready to go", which surprised many people. But people don't know that the central bank has quietly studied the digital currency for five years. In recent years, the system development is 996-type night work overtime.

As early as 2017, the central bank established the Digital Currency Institute. In July 2018, Yao Qian, director of the Central Bank's Digital Currency Research Institute, informed the China Central Bank's two-tier structural model design and detailed functions on legal digital currency at the second meeting of the Statutory Digital Currency Focus Group of the International Telecommunication Union.

Zhou Xiaochuan, the former central bank governor, also revealed at the two sessions in 2018 that the regulation of digital currency is dynamic, and there must be some certain regulatory policy in the future. Overall, it should depend on the degree of technical acceptance and local test results. Bitcoin and forked coins appear too fast, not careful enough, and rapid spread will have a negative impact. Inadvertent products can be stopped, and promising products are tested and certified.

There is an imaginary space for mentioning that "promising products have been tested and re-promoted", indicating that there is still room for survival in a compliant digital currency.

There is a saying that existence has certain rationality. The emergence of digital currency as a virtual currency can not be said to be a kind of financial innovation, but this kind of innovation was kidnapped by speculators and once went to the evil path.

Unintentional willows willow. Bitcoin, Ethereum and other digital currencies were originally digital games of computer geeks with high intelligence. Unexpectedly, they turned into a more expensive currency than gold. With the power of the Internet, it is popular all over the world, and its value has skyrocketed. Digital currency attracts people and grows wildly because it has the basic characteristics of money, can be circulated, and can be preserved, and it is not regulated in the early days. It has tax avoidance function, the number is scarce, the odd goods can live, and the artificial speculation, the price will follow suit. rise.

Nowadays, digital currency must take root in China, and it cannot be said that it is a decision to keep pace with the times. In the context of the already developed electronic payment, what is the significance of the central bank issuing legal digital currency? Mu Changchun said that for the common people, the basic payment function is relatively vague between the electronic payment and the central bank's digital currency, but the digital currency that the central bank will put in the future is very different from electronic payment in some functions.

But this is not to say that ordinary people do not need to pay attention to digital money like electronic payment, but it is necessary to treat it differently.

First, we must abandon prejudice and not demonize the digital currency. Because the digital currency was kidnapped by the distorted blockchain theory, it once fell downhill, and people regarded it as a god, lest they should avoid it. But it turns out that digital currency is a kind of financial innovation, and its anti-risk confidentiality is especially worthy of recognition. Since the central bank has already approved and is ready to go, we must face up to this reality and hold a welcome attitude. After all, digital currency is a new thing. From understanding to recognition to full acceptance, a process is needed.

Second, we must put an end to speculation. In the past, people were criticized for digital currency because the digital currency was smashed into a black swan. Packed in mysterious dizzying blockchain technology, digital currency such as Bitcoin is based on blockchain technology. The blockchain theory is as difficult to understand as a tongue twister. It is a new application mode of computer technology such as distributed data storage, point-to-point transmission, consensus mechanism, and encryption algorithm. Its core principle is “decentralization”. These claims require a high eloquence to make it clear. The skyrocketing of Bitcoin and other digital currencies in the past 10 years has actually benefited from marketing, that is, the speculative concept of speculation, drowning its vaguely circulated value in the hype, like the tulip that originally had ornamental value. Like the "black swan" by the speculative speculation of crazy speculators, the digital currency of the virtual world is like the tulip in the real world, burying the hidden danger in the skyrocketing price. The lessons of history should be remembered. When the digital currency is formally applied, we must not hoard it and maliciously speculate on it.

Again, we must work hard to adapt to the digital currency era. From the perspective of improving the availability and increasing the willingness of the public to use, the central bank issues a digital currency with a two-tier operating structure, that is, the People's Bank of China first converts the digital currency to a bank or other operating agency, which then converts it to the public. The People's Bank of China decided to adopt a two-tier structure, in order to give full play to the resources, talents and technological advantages of commercial organizations, promote innovation, and compete for excellence. Some netizens said that the digital currency era has arrived and never to be against the trend. The application of digital currency is the trend of the times. In this situation, we must strive to adapt to the credibility of digital currency. Although it is virtual, it is exchanged by commercial institutions, but it is also very real, it is real money. At this time, the big trend of the big pattern is very important. Try to do something that will accompany the trend opportunity, adapt to the overall upward trend of the market, hold digital currency, and also have the opportunity to make money. Of course, it is not malicious speculation, but investment.

This switched "Securities Times Online", Author: Cai Enze.