To be a leader in responding to the cryptocurrency attack, what did the bank's vice president say in his recent remarks?

AFP reporters asked for the Council of State's orientation report at 10 a.m. on Thursday, July 8, 2021.I would like to ask you a question about the financial safety and security of banks. Recently, the central bank questioned banks and payment companies about the estimate of virtual profits, and the relevant agencies also established and renovated the company. Sorry. What are the next steps for midsize banks in this regard? Will companies providing services for virtual reality related activities always be the next step in the country? Thank you.

Fan Yifei, Vice President of Financial Institutions of China, said: Thank you for asking this question. I am also responsible for the work of the central bank.

First, digital profits can be divided into digital private funds and mid-sized bank funds. Representatives of digital securities are not only profitable like Bitcoin, but also many so-called "fixed advantages" have started. These funds have become a staple in their own right, and if this happens in the market, it could have a detrimental effect on the finances and security of the community as well.

At the same time, it has become a payment tool for some financial and illegal businesses. The so-called “stable profits” of some business organizations, especially international “stable profits”, can lead to risks and problems for global finance, payments and solutions, etc. We're still very concerned about this issue, so we've done something to pass it.

I think I learned some personal finance information as well. We are still reviewing and investigating whether these digital assets are in fiat credits.

At the same time, we must actively support digital banking currencies. Central bank digital currencies can be divided into two types: one is wholesale central bank money, which is typically given to businesses such as corporations, and the other is to businesses. High-value contracts and central bank currency exchanges are generally available to the public and can be used for day-to-day transactions. I'm not sure if everyone here has used these digital advantages, but the importance of every function in society today is the subject of a consensus on the impact of wholesale central banking.

Most studies believe that central bank wholesale digital currencies will not affect existing finances. Central banks' understandings of digital currencies are very different, although central bank digital currencies can create financial disruption, weaken fiscal policy, or stimulate the economy. We are also very concerned about these issues.

We are trying it now. There have always been concerns about how these digital yuan would affect the financial system, financial policy, and financial security. We are always working to ensure that the renminbi digital system can influence macro factors. Reduce impacts on business, technology and policy development. We are confident that this project will continue to broaden the scope of the profession of driver and widen the scope of the profession of driver. We only use the free list invite method, as far as I know the number of registered users on the free list can reach 10 million, so give it a try if you have the time. The Beijing Spring Festival is an important venue for the next generation of pilots, and in the process, everyone can enjoy these amenities. If there is any problem with the app, please let us know and we will arrange an appointment. Some adjustments can be made if the impact is severe. Thank you.

In the meantime, the President of the Bank of the Republic of China took the initiative to explain the strong governance policy for the first time recently, highlighting the following key implications:

First of all, which does not use the negative word for virtual currency, but means that it is personal currency (a representative of personal currency is a currency such as Bitcoin, many of which are said to be "stable results" started). The formula is more in line with international standards. However, there are still ambiguities as to whether it is an asset or a currency, for example, Zhou Xiaochuan recently called it a crypto asset.

Respondents expressed an open attitude, saying, “We are always reviewing and studying these digital assets to see if they are available on loan or not. Previously, Libo (now a member of the IMF), chairman of the Central Bank, had said: "If it is used for investments, in how many countries, including China? There must be a way to invest. It is a kind of environmental management. "

In addition, additional information on robust care has been leaked.

secondIn this regard, digital currencies can be divided into digital currencies and central bank digital currencies, referring to the further extension of compliance with the support of central bank digital currencies, which opposes it. In the event of controversy, it is negative and the effect is stronger.

third, as these funds themselves have become predictive tools, this situation occurs in the market and also poses a serious risk to finance and securities. At the same time, it has become a payment tool for some financial and illegal businesses. The so-called “stable profits” of some business organizations, especially international “stable profits”, can lead to risks and problems for global finance, payments and solutions, etc. We're still very concerned about this issue, so we've done something to pass it.

The digital privacy benefits are categorized as “equipment requirements” and are a means of instruction, but in the context of current policy, they are simply negative. This is also similar to what former central bank manager Zhou Xiaochuan said, “When it comes to cryptocurrency innovation, China's attitude is still in the spotlight. The review and discussion focused on what it can do for the real business. "he said.

Fourth, the stable coin was clearly mentioned in this answer, but in the past only Bitcoin was discussed at the FSC meeting. In fact, compared to Bitcoin, stablecoins indexed to the US dollar are more likely to speculate, pay and even commit crimes such as money laundering and gambling. However, on the other hand, existing practices such as that the ban on participating in organizations, protests against public opinion and protests against fraud in electricity and laundry seem to have disappeared. He will also see if there will be more stringent measures, such as new rules and regulations, to focus on stable results such as the USDT.