#Wang Yongli Discusses the New Bitcoin Policy#

Wang Yongli, former vice president of the Bank of China, wrote an article in the magazine "China Foreign Exchange" expressing a rational view on the new Bitcoin policy proposed by Trump. He believes that although Bitcoin is a new type of tradable digital asset, its total amount is fixed and its price fluctuates dramatically, which does not conform to the basic laws of monetary development and cannot become a real currency, let alone replace sovereign currency. In addition, the feasibility of Bitcoin as a national strategic reserve is also questionable, and its security and risk management are not yet mature. Wang Yongli pointed out that Bitcoin highly imitates gold at the level of "coin", but its total amount and phased incremental amount are completely set by the system, which is more stringent than gold and cannot grow with the growth of tradable wealth value, which does not meet the essential requirements of currency. He believes that Bitcoin is a pure chain-born digital asset, which will disappear into thin air and be worthless once it loses trust, and its hidden risks are far greater than gold. 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.