China is noted for having one of the largest mining pools in the world while outlawing the trade of cryptocurrency. These inconsistencies only appear to be deepening as today the Chinese government announced it is hiring cryptography experts to develop its own centralized digital currency, according to SMCP.
The Digital Currency Research Institute of the People’s Bank of China (PBOC) has released public job opportunities for specialists in computer science and cryptography with experience in blockchain in order to explicitly develop digital payment platforms.
While these payment platforms would be both digital and make use of the blockchain, they won’t properly be cryptocurrencies as they will be tied to fiat rather than a decentralized value system.
The details are scant, but what is clear is that China is simultaneously moving to bring blockchain technology to use for both transaction and integrated IoT ‘smart cities.’
Nonetheless, China is not friendly on cryptocurrency itself, banning ICO’s, trading, and recently worrying those in the crypto space due to reports that China has the capability to destabilize Bitcoin through a 51% attack due to the centralized mining pools being so China-dominant.
At a time when the crypto market is seeing heavy criticism and taking large hits in trading value, China seems to be moving towards adapting the technology for use in their traditional financial infrastructure.