#Wang Yongli Discusses the New Bitcoin Policy#
Hot Topic Overview
Overview
Wang Yongli, former vice president of the Bank of China, wrote an article in the magazine "China Foreign Exchange" expressing cautious views on Trump's new policy on Bitcoin. He believes that Bitcoin, as a new type of tradable digital asset, is unlikely to become a true currency, let alone replace sovereign currencies. Bitcoin has a fixed total amount and its price fluctuates dramatically, which does not conform to the basic laws of monetary development. Its security and risk management are still immature. In addition, Wang Yongli also questioned the feasibility of Bitcoin as a national strategic reserve, arguing that it is difficult to ensure that it all belongs to the US government, and there are risks and uncertainties. He called on the international community to respond rationally and avoid blindly following the trend.
Ace Hot Topic Analysis
Analysis
Wang Yongli, former vice president of the Bank of China, wrote an article in the magazine "China Foreign Exchange" expressing a rational view on Trump's new Bitcoin policy. He believes that Bitcoin, as a new type of tradable digital asset, is unlikely to become a true currency, let alone replace sovereign currencies. Bitcoin has a fixed total amount and its price fluctuates dramatically, which does not conform to the basic laws of monetary development. Its security and risk management are still immature. Moreover, the feasibility of Bitcoin as a national strategic reserve is also questionable. The United States cannot guarantee that all new Bitcoins will be generated in the United States, nor can it guarantee that they will all belong to the US government. Wang Yongli calls on the international community to respond rationally, avoid blindly following the trend, excessively relaxing regulation or weakening the status of the US dollar. He believes that Bitcoin highly imitates gold at the "coin" level, but its total amount and phased increase are completely set by the system, which is more stringent than gold. It cannot grow with the growth of tradable wealth value, which does not meet the essential requirements of currency. Moreover, Bitcoin is a purely chain-born digital asset, which will vanish into thin air and be worthless once it loses trust. Its hidden risks are far greater than gold.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Bitcoin does not meet the essential requirements of currency. Its total amount is fixed and its price fluctuates dramatically, making it impossible to become a true currency, let alone replace sovereign currencies.
The feasibility of Bitcoin as a national strategic reserve is questionable. Its security and risk management are still immature.
Bitcoin is a purely chain-born digital asset, not a natural physical asset. Once trust is lost, it will vanish into thin air and be worthless. The risks are far greater than gold.
Overly relaxed regulation of Bitcoin could weaken the US dollar. The international community should respond rationally and avoid blindly following the trend.