From the Chinese government’s point of view, cryptocurrency is not a legal tender; Instead, it has been categorized as “virtual goods,” but some industry players believe that the Blockchain Service Network (BSN) infrastructure can drive the development of virtual currencies such as CBDC.

In an interview with Cointelegraph, Eden Daleval, Global CEO of Conflux Network, a first-tier blockchain protocol and the only public-owned blockchain project in China, stated that the Chinese government is very interested in launching CBDC “to take control of digital technology. The commercial landscape and make the economy oriented towards the future. ”

BSN is a large blockchain interaction network. In July, they announced their decision to split BSN’s management into two ecosystems: BSN China and BSN International.

Dalival shared his thoughts on why BSN might split in this way and the implications for the Chinese blockchain system:

BSN will likely split to make the network organization interoperable, more secure, and economically stable, without losing the functionality of public blockchain networks. (…) This two-stage ecosystem enables capital and asset flows between chains and countries without compromising the network’s reliability. ”

With the goal of integrating public networks into BSN, Dhalival says that in order to reach and accept retail users and enable the explosive growth of the ecosystem, BSN needs to integrate a wide range of public networks to enable interoperability, innovation and internationalization of digital assets. And tools. “:

“One of BSN’s most important tasks is to strengthen the blockchain ecosystem in China, and implementing special chain solutions allows it to focus on the limited use by companies and authorities.”

He told Cointelegraph that the inclusion of public networks in the mix “creates opportunities for innovative financial instruments and digital businesses that will seamlessly integrate with CBDC.”

In August, China’s Ministry of Commerce announced that it would expand its efforts to use the country’s central bank digital currency to include the provinces of Beijing, Tianjin and Hebei. There is currently no specific time to start the Chinese CBDC’s Expanded Pilot Program, according to the August 14th Wall Street Journal report.

Source: CoinTelegraph