After a ban of initial coin offerings and the shutdown of several cryptocurrency exchanges, it seems almost hypocritical that China would be entering the space of cryptocurrency. Recent news has shown that China may be entering the space, but nothing has been confirmed up until this point.
As of October 10th, one of China’s central banks, Ping An Bank Co., may have some ties with a new token coin that is in development. The coin, known as Bianace Coin was unveiled around three months prior, and runs on the blockchain that powers Ethereum. One insider stated that “maybe Ping an Bank’s involvement can be explained as commercial activities, but Xiamen Local Taxation Bureau’s control over China Bitcoin demonstrates the Chinese Government’s interest in ICO and Bitcoin.”
There has yet to be any official confirmation from the government or any officials, but it does seem like some involvement is occurring. The CEO of Biance stated that the bank did not purchase their company, but they are the main developer behind the company.
The head of Biance stated that the rumor was not true, but there has not been any evidence up until this point to confirm or deny it. The Chinese market is undoubtedly, incredibly large and would benefit greatly from a cryptocurrency run by the government, but without any statement, nothing can be confirmed.
China banned the use of ICOs famously during the beginning of September which ultimately led to several of the top cryptocurrencies dripping in price very quickly. If China decides to enter the space, it could show that their motive was simply to shut down the sketchier trading venues and less regulated aspects of the coin, rather than fully demote its use and utility. Only time will tell how China deals with cryptocurrency as the coming months pass by.