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A few weeks ago we reported on the launch of a government-owned cryptocurrency by China. This was in response to the launch of Facebook's Libra. There is a global race to becoming a world leader in the cryptocurrency industry and China aims to win it. In recent days, it has been reported that their state-owned cryptocurrency is ready for launch.

<a href="https://www.ccn.com/chinas-govt-crypto-readies-huge-november-launch-to-steal-libras-thunder/">Some reports indicate</a> that this could be as early as November 11. So, why is it so key for China to launch its cryptocurrency?
<h3>China Launch In Aim To Hedging Against The U.S Dollar</h3>
The<a href="https://www.cryptoknowmics.com/crypto/bitcoin-performing-exactly-how-it-was-designed-as-the-u-s-china-trade-war-escalates/"> U.S dollar has been the global leader</a> for years. This has left all countries vulnerable to its movement. This has further ensured that the U.S remains a superpower and kept control over the world. <a href="https://www.cryptoknowmics.com/crypto/why-are-the-hong-kong-protests-bullish-for-bitcoin/">Emerging powers like China</a> plan to change this. And first on their agenda is hedging against the dollar. The best way to do this is by heavily investing in emerging technology, in this case, cryptocurrency.

By developing a state-owned cryptocurrency, China is getting ahead of the race. A race that will prove vital in the years to come once other countries and entities begin joining.
<h3>How This Changes Governance</h3>
China will most likely use every trick to get its citizens to adopt the new cryptocurrency. By doing so, the state will get autonomy over every citizen's financial operations. The government will be able to track movement, financial transactions and go as far as dictating what to buy. Taxes will be deducted as the state wishes, it will also be able to freeze accounts at their discretion.

This might begin with China but it is the fate of all citizens in the world. While this might begin with China, analysts say this will be a goal for every government in the world. Having complete control of citizens accounts.
<h3>Bitcoin's Value Finally Realized</h3>
Once citizens realize how the government has taken away their freedom over financial privacy, many will look to Bitcoin. Financial freedom is vital to many people and when they realize how much control governments have taken control of their finances, they'll fall to decentralized currencies such as Bitcoin.

Bitcoin will become a popular asset for people who would prefer to keep their finances private. This will ultimately drive adoption for Bitcoin, demand, and prices soon.

How China's Launch Of State-Owned Cryptocurrency Changes Governance And Bitcoin (BTC) Interaction

China is ready to launch its cryptocurrency. This launch is expected to change world governance, financial systems and see Bitcoin recognized and valued.

John is an exceptional writer with a liking on technology, finance and the intersection of the two. A firm believer in the transformative potential of cryptocurrencies and the blockchain. When he is not writing, he likes to listen to Nas, Eminem and The Beatles.

How China's Launch Of State-Owned Cryptocurrency Changes Governance And Bitcoin (BTC) Interaction

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