In China, investors are moving into Bitcoin (BTC) and leaving its national currency, the yuan, due to the consequences of the Trade War this country is waging with the united States. The yuan has been devaluing lately; in fact, according to an analysis of the past 30 days, presented by the platform to Bloomberg, the negative correlation between this currency and Bitcoin fell to its lowest point until now. Although the chinese government has tried to maintain the value of its national currency in the past month, the yuan fell to its lowest level in the last 10 years. The reason given to explain such a drastic move was that at the beginning of August the american president Donald Trump, made a series of threats to the trade of the country, among which highlighted the imposition of an import duty of 10% of the products coming out of China. Data from various exchanges support the theory that the value of the yuan is causing a “leak” of chinese investors towards other alternatives. The director of research for Blockchain, Dr. Garrick Hileman, said that the price of BTC in the exchange houses cryptographic, as Huboi, which cater primarily to chinese traders, are trading the digital currency, with a premium. The specialist also specified that the inverse correlation between Bitcoin and the yuan had risen in April and may “as tensions increased with the deterioration of trade relations between the united States and China.” For their part, some other analysts consider that the fact that investors are moving to Bitcoin could be a good move for the industry cryptographic, since not only would increase the amount of people that are joining the so-called “revolution in cryptography”, but it makes the pressure for the chinese authorities to work more quickly on the project to launch its own digital currency national, better known as CBDC. It is important to remember that the CBDC of China is not only looking to get the results of the innovation and other benefits that bring the digital currencies, but, as explained in our article “Area 51 china develops its CBDC”, aims to be one of the main competences of the controversy criptomoneda Pound, whose main promoter is the social-networking giant, Facebook. The following two tabs change content below. I am a student of International Studies, interested in new technologies and their impact on the world. A true believer that tenacity is the foundation of success.
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