Beijing Normal University Zhong Wei: In the future, if digital currency is the core, it is enough to establish a clear and clear settlement system, no encryption is required.

Zhong Wei, director of the Financial Research Center of Beijing Normal University, today announced that “The ultimate future liquidity trap of digital currency will still exist? Column of the article. The article stated that from the evolution history of carriers, digital currency is basically not an evolution of credit. If the People’s Bank of China issues a legal digital currency, there is still no evolution in credit, or the central bank’s credit on behalf of the country. Digital currency is largely a evolution of the carrier rather than the evolution of credit. The article mentioned that the currency encryption system has about three layers, one is to encrypt the underlying digital currency, the other is to encrypt the digital account, and the third is to encrypt the entire payment clearing system. The more encrypted, the lower the efficiency, the higher the cost, the more trouble the transaction. Therefore, if the digital currency is the core, it is enough to establish an encrypted clearing settlement system in the future. The digital currency itself does not need to be encrypted. At the end of the article, the digital currency was also guessed. First, because the digital currency and digital payment system are the future, as our entire life is formed online, the offline starting point will slowly die or exist in name only. Second, Libra is a very important thing. If the United States allows to try Libra, can we imagine or suggest that China's regulatory authorities, central banks or government functions can also allow some of China's financial technology companies to try something similar to Libra? Third, the legal digital currency is still a very important thing.