International short term digital currency
According to the announcement on preventing the financing risk of token issuance, there is no approved digital currency trading platform in China
on September 4, 2017, the central bank and other seven ministries and commissions jointly issued the "notice on preventing the financing risk of token issuance", which pointed out that any so-called token financing trading platform shall not engage in the exchange business between legal tender and token and "virtual currency", and shall not buy or sell tokens or "virtual currency" as a central counter party, It is not allowed to provide pricing, information intermediary and other services for token or "virtual currency"
on November 13, 2019, the Beijing Municipal Bureau of Local Financial Supervision issued the "risk tips on unauthorized business activities of branches of trading places" which pointed out: "if there are branches of foreign trading places (mainly financial assets exchange) carrying out business activities in Beijing, it is illegal business activities."
extended data
digital currency may breed many illegal behaviors, such as exchange or one of the fields where illegal behaviors occur. The exchange may manipulate the stability of digital currency value, but the stability of currency value is closely related to the risk of financial system. If the fluctuation of currency value is manipulated artificially, it may bring bad capital flow and affect the security of national financial system
from the perspective of financial stability, strengthening the supervision of exchanges is concive to maintaining the stability of financial order. Due to a large amount of capital flowing into the exchange, under the influence of businessmen pursuing profits, it is likely to cause the behavior of ICO in the currency circle, resulting in the lack of necessary support for the technology research and development of the chain circle. In order to regulate the market, it is necessary for the relevant departments to strengthen the supervision of the exchange
China does not recognize digital currency, and all transactions related to digital currency are not legal. But it does not mean that investment is illegal. The concept of "not legal" here means that your transaction is not protected by law. Once the platform roll money away, then the loss is not protected by law
if digital currency is widely accepted and can play the role of currency, it will weaken the effectiveness of monetary policy and bring difficulties to policy-making. Because digital currency issuers are usually unregulated third parties, money is created outside the banking system, and the amount of circulation depends entirely on the wishes of the issuers
as a result, the money supply is unstable, and the authorities are unable to monitor the issuance and circulation of digital currency, resulting in the inability to accurately judge the economic operation, which will bring trouble to policy-making, and weaken the effectiveness of policy transmission and implementation
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features:
low transaction cost: compared with traditional bank transfer, remittance and other methods, digital currency transaction does not need to pay fees to third parties, and its transaction cost is lower, especially compared with cross-border payment which provides high handling charges to payment service providers
fast transaction speed: the blockchain technology used in digital currency has the characteristics of decentralization, and it does not need any centralized organization similar to the clearing center to process data, so the transaction processing speed is faster
bitcoin, Ruitai and Laite are the real digital currencies.