Chinese regulator advises to “stay away” from the cryptocurrency industry, and Deloitte says digital assets can replace fiat in the next 5–10 years

Chinese regulator advises to “stay away” from the cryptocurrency industry

The Central Bank of China advises to “stay away” from the cryptocurrency market. The regulator believes that transactions with digital assets are pure speculation. The People’s Bank of China urges citizens to “protect their pockets,” since BTC is not a legitimate payment instrument and has no real value.

“In response to a possible increase in the number of transactions with cryptocurrency, the Central Bank will, together with the relevant departments, identify foreign crypto exchanges and local traders, as well as block and take measures against websites, applications and corporate channels,” said the deputy director of the Financial Services for Consumer Rights Protection Bureau of the Chinese Central Bank Yin Yuping.

Also, the local press writes that the Chinese Central Bank will continue to take tough measures against the cryptocurrency market. The regulator said in a statement that if citizens become aware of illegal transactions with digital currencies, they are required to promptly report this to the relevant authorities.

Deloitte research: digital assets could replace fiat in the next 5–10 years

Deloitte conducted a survey among financial market players on the topic of blockchain and digital currencies, as well as the use of these technologies in the commercial sector. According to the study, 76% of those surveyed said that cryptoassets “will become a strong alternative or complete replacement for fiat currencies in the next 5–10 years.”

More than 1,000 financial professionals from the US, UK, UAE, Japan, China, Brazil, Hong Kong, Singapore, and South Africa participated in the survey.

More than 80% of respondents believe that the technology associated with cryptocurrencies is “widely scalable and widespread.” 73% believe their employers should add support for digital currencies. Otherwise, they will become uncompetitive.

According to 65% of those surveyed, today’s financial infrastructure is quite a hindrance to the adoption of digital currencies. At the same time, 43% of respondents admitted the possibility of accepting crypto payments by their companies. 45% said they intend to tokenize their own assets.