bill wants to ban digital yuan to prevent spying

The digital yuan is not welcome in the United States

This Thursday, three United States senators unveiled a bill to prevent the digital yuan (e-CNY) to be used within the country. This central bank digital currency (MNBC) is actually available on mobile applications such as WeChat and Alipay, themselves downloadable from the Google Play Store and the Apple App Store for example.

So it’s that eventuality, of seeing the digital yuan roll out in the United States, which poses a problem.

Tom Cotton, the senator representing Arkansas, was outspoken in arguing that the Chinese government benefits a way to spy on US citizens :

“The Chinese Communist Party will use its digital currency to control and spy on anyone using it. We can’t give China that chance […] to undermine our economy at its most basic level. »

For his part, Mike Braun, the senator representing Indiana, held similar words :

“The Chinese Communist Party’s digital yuan enables direct control and access to individuals’ financial lives. We cannot allow this authoritarian regime to use its state-controlled digital currency as an instrument to infiltrate our economy and the private information of American citizens. »

Thus, if this bill were to materialize, the various application providers would no longer be able to offer downloads of those allowing the use of e-CNY.

👉 To go further – Discover our guide to buying your first cryptocurrencies

China’s position

Faced with this bill, the Chinese embassy in Washington did not fail to assert its position. She called this maneuver a gratuitous intimidation attempt against foreign companies, alleging unjustified use of national security argument.

It is true that a state can theoretically monitor under what circumstances is its MNBC used, or even potentially in control the use. But it is difficult to conceive how it can go further once you use another currency. Moreover, a smartphone can already, on its own, be a spy tool.

We see here that these considerations are rather political and macroeconomic.

At a time when the Biden administration is still discussing the position to take regarding a potential MNBC, China has already taken a step ahead on the subject. This case therefore touches on the sovereignty of two of the world’s greatest powers.

👉 Also in the news – MNBC in Brazil: Mercado Bitcoin and Stellar (XLM) are working on the project

Sources: Reuters, Senator Tom Cotton’s website, Bill

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About the Author : Vincent Mayor

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I timidly discovered the world of blockchain at the end of 2018 during my quest for financial freedom. Initially invested moderately, it was only two years later that I took the gamble of betting everything on the movement that was taking shape then. I then dedicate 2021 to training myself better to acquire more knowledge and seriousness. As I often like to say: I still have a billion things to learn. And what I do know, I want to share with you.
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