The Chinese state news agency Xinhua today published an editorial about Bitcoin on the front page of its website for its millions of readers.
Up to now, mainstream Chinese media has primarily focused on blockchain, Bitcoin’s underlying technology, rather than Bitcoin itself. State news outlet the People’s Daily recently called blockchain "a breaking point" for the country to overtake.
Xinhua’s article, which takes the form of an explainer and a critique of Bitcoin, thus marks a significant change in policy towards the cryptocurrency.
China’s ambivalent attitude to Bitcoin
The article’s prominent placement and reference to Bitcoin as “the first successful application of blockchain technology” has led to speculation that China could be considering lifting its controversial ban on Bitcoin trading, imposed back in September 2017.
But despite the upbeat headline, the article chooses to focus largely on the negative aspects of the cryptocurrency: the energy intensive nature of Bitcoin mining; a suggestion that centralization is a problem, and Bitcoin's volatile price. It claims that the key uses for Bitcoin are blackmarket transactions and money laundering. Read More....