“Private Digital Money Can Coexist with Government Money”

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Wu Xiaoling, former deputy director of the People’s Bank of China (PBOC), recently came out in support of Bitcoin and likewise cryptocurrencies, saying that they all can coexist with government money.

“Coexistence of private money and government money will be a normal part of our world,” says the translated version of her quote. “A new value transfer network based on open-source, distributed information technology will reduce costs and increase efficiency; it is worthy of exploration and development.”

By far, Xiaoling is the highest-ranking government official in China that has openly supported Bitcoin, and the idea of its integration into the real-world economies. She is a current member of the National People’s Congress Standing Committee. Meanwhile, she is also designated as the dean of Tsinghua University Wudakou Finance College.

PBOC’s take on the cryptocurrency businesses however hasn’t been much optimistic. The Chinese regulators previously have put enough obstructions on the Bitcoin’s road-to-success. At first, their declaration of Bitcoin as a non-currency slowed down the coin’s growth in China. This move was followed by yet another law that forbade financial institutions to setup any kind of professional links with cryptocurrency-based businesses.

Still, the country hosts some of the biggest mining equipment manufacturers and mining operators that add up to the overall cryptocurrency system. “China needs to be part of the global Bitcoin story if the virtual currency is to be successful in the long term, but it remains to be seen if and when that happens,” Canadian financial expert Zennon Kapron once quoted.

While the comments given by Xu Xiaoling cannot cut the ice all alone, they still reflect the gradually changing attitude of the Chinese government towards Bitcoin and cryptocurrency technology. Hope for the best!