90 of China’s central bank in Washington on the blockchain: Why are optimistic about?

90 of China’s central bank in Washington on the blockchain: Why are optimistic about?

The importance of the blockchain is gradually obvious, because central banks are interested in it, including whether it should be the introduction of digital currency.

On June 1st -3, the central bank regulatory agencies and representatives from 90 countries including China representatives gathered in Washington to attend the sixteenth session of the Fed’s headquarters, financial sector policy challenges the international conference, during the meeting of three days, the delegates heard about the block chain technology report, the meeting held once a year, the conference jointly organized by the world bank, the International Monetary Fund, the Federal Reserve etc..

This year, the theme of the conference is “change in Finance: technological transformation of financial industry” (FinanceinFlux:TheTechnologicalTransformationoftheFinancialSector). Attend the meeting including Federal Reserve Chairman Yellen, as well as the International Monetary Fund (IMF), the world bank and the international clearing bank officials.

The world bank website, two China CBRC representative and a representative of the Bank of China was invited to attend the meeting, including Chinese CBRC Shanghai regulation Secretary Liao Min. China Hongkong has two representatives of the participants.

According to the world bank published on the website of the agenda, this activity topic to block chain and financial technology. At the meeting, the delegates introduced their progress in the exploration of the blockchain last year and digital currency technology, and put forward their own exploration problems for discussion.

Analysis pointed out that in the high level meeting on 90 central banks on behalf of the common block chain is discussed, for the first time in history, the importance of such prominent blockchain has been recognized by financial regulators.

According to Peng Bo reported that the Washington digital chamber of Commerce (ChamberofDigitalCommerce) founder and chairman of the meeting of the PerianneBoring block chain agenda support. After Boring, the founder of Bloq JeffGarzik, vice president of NASDAQ FredrikVoss and Goldman executive director of TomJessop.’s group meeting at the headquarters in San Francisco block chain start-up company Chain CEO AdamLudwin made a keynote speech at the meeting, introduced to the more than 90 central bank representative block chain technology, and its potential application in the field of finance.

“The real golden opportunity, the direction of the central bank is a digital currency.” Ludwin at the meeting said: “in the infrastructure stage, almost always as technology creators and supporters of the government to play a leading role.”

Ludwin in an interview with Bloomberg said the central bank representatives for the blockchain topic asked a lot of “sharp”, he said: “they don’t want to challenge this technology, but want to know” what does it all mean? “”

Bloq co-founder MatthewRoszak said, many participants seemed to improve agency operations on the block chain are very interested in the way. “They understand the blockchain what to do, what not to do. They put the block chain as improve work tools, they are responsible for the central bank’s policy decisions, and block chain technology to provide transparency and openness of the hitherto unknown”.

Boring said that the central leadership made a lot of high level, especially in emerging markets around the problem. They are from Africa and South America, said the effect of close attention to the block chain and digital currency in global competition.

The concern is that Asian central banks expressed bitcoin anonymous creator Nakamoto Somami identity concern.

Boring said: “let them trust the creator of unknown really difficult”.

As one of the most important characteristics of bitcoin blockchain underlying technology is the so-called security. And after this year the number of central banks suffered large theft, the central bank has a chain of interest to block technical reasons.

In February this year, the central bank foreign exchange reserve bank account was hacked, stolen nearly $one hundred million. According to BBC reports, the Central Bank of Bangladesh network hackers, issued dozens of transfer requests. The spelling mistakes caused by relevant payee bank transfer of Deutsche Bank note, and then asked the central bank to verify the information, the latter aware of account theft, and immediately abort the transaction. Almost at the same time, the Federal Reserve Bank of New York to the Central Bank of Bangladesh will apply for the transfer of suspected alert. Allegedly, if at the time the application is approved, the theft amount may be as high as $1 billion.

In addition, in the Vietnamese capital of Hanoi pioneer Bank of Vietnam said in May 15th this year, it had foiled attempts to use false society for Worldwide Interbank Financial Telecommunication in the fourth quarter of 2015 (SWIFT) information, hacking stolen bank $1 million 100 thousand, modus operandi and Bangladesh Bank stolen similar.

A commercial bank in Ecuador BancodelAustro has also been hacked in January 2015, stolen $12 million.

These attacks against banks are carried out by invading the banking network, and the SWIFT system vulnerabilities accentuates.

According to the analysis of the current society, the blockchain technology will be able to prevent such attacks. Because unlike SWIFT, not the banking system run in the block on the chain was broken in a node, because the system is running the world connected in this block chain on all computers at the same time.

Deputy Secretary General of the financial chain alliance, Shenzhen block long silver chain Technology Co. Ltd. CEO Shen Tu youth to surging news said that if the use of block chain technology, the safety of the banking system will be greatly improved, at least not the center of the database has been tampered with, the funds being stolen will not like this is difficult to recover. Because the digital money system based on block chain, each account balance and transaction records are traceable, it will also have great achievements in anti money laundering.

At present, more positive attitude of the central bank for China digital currency. In February this year, the central bank governor Zhou Xiaochuan in an interview that the central bank started very early study of digital currency, “as a generation of currency notes, low technical content, from the point of view of safety and cost, is the new technology and new products to replace is represent the general trend. Especially with the development of the Internet, global payments have undergone tremendous changes, the establishment of circulation system of digital currency, finance for infrastructure construction, promote economic quality and efficiency upgrades are necessary.”

Shen Tu youth believes that if the central bank to issue a digital currency in the blockchain basis, should first develop the mature technology platform, which in two or three years will be launched. Another is to solve the problem of the interests of the central bank and commercial bank.

“The central bank issued a digital currency is definitely not for the leather commercial bank’s life, they will certainly find their position in the new system and the set of responsibilities, issuing process, their respective responsibilities clearly defined until after the real issue. The central bank is based on the digital currency issue is expected to block chain trial in a small range of three to five years, and gradually improve the blockchain technology level, additional business.” Shen Tu youth said.

The use of bitcoin in Philippines increased, promote national economy without cash

The use of bitcoin in Philippines increased, promote national economy without cash

The use of mobile payment and bitcoin in Philippines increased, to promote national economy without cash.

Asian countries in the past few years has shown great economic growth. China and India’s economic development is the emergence of the bottleneck, while Philippines is currently in a period of rapid development. Along with the economic growth in Philippines, the latest technology in the field of economic growth in conjunction with. In order to keep up with the progress of technology, and ensure that the interests of the people of Philippines are slowly toward the development of non cash society.

Philippines’s social and economic environment in the development of the road also paid a lot. For a large part of the population did not have a bank account and did not enjoy banking services in the country, which means that the financial services can be developed rapidly. These people do not have access to traditional financial services. They may not even know how to operate a bank account, but they have a smart mobile phone, they know how to use them. This has resulted in the increased use of mobile payment as an unorthodox financial system. The use of mobile payment, people can pay their bills, buy goods in shops and more service. Recently, the Philippines IRS in the global telecommunications – Philippines, the second major telecom operators in the country, allowing people to use mobile payment to pay the tax.

The use of mobile payment is not a new concept. Safaricom MPESA is a mobile payment service, it appeared in the consumption of Kenya to bring the huge change. Mobile payment is a payment way in Kenya using the most widely. In addition to mobile payments, Philippines also recorded the use of bitcoin growth rate. Bitcoin as a center point of the digital currency in the world it has established a reliable non orthodox financial services and payment platform.

Recently many Filipinos are exploring the use of bitcoin remittance. Philippines has a huge inflow of remittances market, Philippines immigrant groups will send money to his family. Different from the traditional cross-border funds transfer method, bitcoin transfers the cost of only a small part of the transaction cost. In addition, the bitcoin remittance will be far more than the other models faster.

Based on the bitcoin remittance industry in Philippines now has a number of companies to provide services for the people. These bitcoin payment platform based on acquired the name of “Rebittace”, the name by Remittance (transfer) and Bitcoin (bitcoin) two words together. Bitcoin like mobile payments are used to purchase goods and services, businesses can also be accepted.

With the trend of mobile payment and bitcoin in Philippines is increasing, which makes Philippines cashless economy moving forward.

The Bank of England’s exploration block chain: digital currency issuance is still too early

The Bank of England’s exploration block chain: digital currency issuance is still too early

Today, the Internet released a copy of the speech was canceled, the Bank of England (BankofEngland) governor MarkCarney after the in-depth research of distributed ledger proof of concept, “the central bank said digital currency”.

The comment on the occasion, when the global banks began testing publicly distributed ledger. This technique is equipped for running the encryption currency to the center of the public ledger.

It can be extended to Carney, although the bitcoin and other encryption currency financial system in an attempt to create a new, but distributed ledger is to shorten the settling time, improve the traditional financial environment safety.

In Carney’s speech, he stressed the immediate change and application of these new tools may not be in the short term, but some banks to issue digital currency is almost a compelling choice.

Carney wrote:

“The central bank is concerned about the distributed ledger and enhance their adaptability to the market potential, distributed ledger system backup means. Even if a fault occurs, the rest can be run as usual. Eliminate single points of failure risk inherent in the center of the system.”

On this basis, he said, the British central bank intends to continue to explore the use of distributed ledger in its own internal infrastructure, including the RTGS system ((real-timegrosssettlementsystem).

“If distributed ledger technology can improve the efficiency of the private sector, payment and securities settlement, so why not apply it to the core of the payment system?”

It is worth noting that this is not the first time that the bank can be real-time gross settlement system and distributed ledger integration technology.

At present, the Bank of England’s use of gross settlement system in 2014, has experienced 9-10 consecutive hours of failure.

The accident brought considerable inconvenience caused by day 51% of the housing transaction was delayed for several hours.

The actual experience

In a copy of the speech, Carney said the central bank will set up their own internet financial incubator, to explore new ideas of distributed ledger to a great extent.

He said that the organization will handle the new method of non bank payment service providers to explore, this may open new doors for block chain enterprises.

Moreover, in his statement about the relationship between distributed ledger technology and the Central Bank of the existing system, very worthy of attention.

As for the central bank issued digital currency, Carney said he thought it would be “fundamentally or sudden reshaping the banking”, but at the same time, in the elimination of conflicts may increase the liquidity risk”.

To some extent, Carney that the system of investors have too much freedom, this is a global central bank to solve the problem of common internal cognition.

For example, if the stock market collapse, as investors quickly convert stocks into cash, will cause a run on the bank, but the bank may not hold enough cash.

Finally, Carney made its own summary, said in his opinion “the Bank of England digital currency is still a long way to go”.

This speech is to release vice mayor of the city of London Party (theLordMayor ‘sBanquet) prepared by the participants including bankers and businessmen, but Carney does not make speeches, instead of mourning the murder on Thursday Mr JoCox.

Block chain was spotted? The UAE telecom giants seek related applications

Block chain was spotted? The UAE telecom giants seek related applications

If you are the UAE telecom giant Du color Hall of Dubai headquarters of the marvel, then you out it, the real highlight in its registration information system.

Dubai operators blockchain medical authentication

Early, Du to do business customers to provide their own a plastic ID card, Du card will be stored in a blue wooden box. However, due to traffic grow with each passing day Du changed its policy. They give customers a yellow sticky, with handwritten numerals, and then the information stored in the system update.

However, as the traffic is more and more big, the old system has been unable to solve the problem of customer information storage.

In order to solve the problem of identity information, application of the Ministry of Commerce vice president JoseValles Du began to explore the blockchain. Valles said, this can be said to be to expand the current service of the Du, because the Du began to provide services for the banking transaction authentication chain block.

Du and Etisalat are called the two major telecom operators, the annual income of 12 billion 340 million dirhams (UAE official currency; the equivalent of $3 million), about 7000000 customer service. Valles believes that with the strength of Du and a huge customer base, one day will block chain technology popularization application.

Block chain can provide opportunities are limitless, application range is very wide. As long as the transaction, there comes the blockchain.

In order to study the block chain technology, Du joined the Dubai global blockchain Committee (GBC), the association created by the government investment in the future innovation center Museum (MuseumoftheFuture) was established, consisting of more than 40 members. These members are from regulators, financial institutions, technology start-ups etc..

Dubai global blockchain Committee (GBC) received 7 proposals last week, shows the research results of block chain technology. However, the Du proposal will block chain technology for medical records the best response.

Block chain medical authentication

Medical data storage

Valles said that the government of Dubai to explore the scheme of secure storage of medical records inspired Du to the proposal.

The medical field is in the exploration of the feasibility of block chain technology, recently came to the blockchain start-up companies Gem and PHILPS (Philips) medical departments.

Valles said: the safety of medical data is indeed a big risk. We think we can through the block chain technology to solve this problem completely.

Dubai global blockchain Committee (GBC) expressed appreciation for the Valles in secure storage of medical records for this effort, in line with the objectives of GBC.

In order to successfully implement the medical plan, Du and Estonia (Eastern Europe) distributed books startup GuardTime to establish a cooperative relationship. The government of Estonia from 2011 began to cooperate with the start-up company Guardtime, the protection of public security and internal records. According to news reports, Guardtime has successfully protect the Estonia 1 million copies of medical records of security.

Valles, Du and Guardtime are finishing the work of the project, also called for active participation in United Arab Emirates hospital.

The long-term development opportunities

For the Du block chain technology, there are more long-term plans: for the identity information field.

Valles said: the block chain technology must have business opportunities, because we have the perfect KYC (Know-Your-Customer) cognitive process. We can verify the identity of the user in the call block chain technology.

When asked about the updated Du information system, Valles said it is not clear.

He said Du also need to comprehensively test the block chain technology. But he also expressed optimism about the block chain technology.

When people start the road, do not know the existence of cement. Just as there are unforeseen benefits of block chain technology for economic development.

The blockchain will improve people’s living standard.

More blockchain and medical information, please click the “block” chain and medical topics.

The Russian Ministry of finance to withdraw bitcoin ban, but not sure whether the future

The Russian Ministry of finance to withdraw bitcoin ban, but not sure whether the future

According to the opinion of the Ministry of justice, the Russian Ministry of Finance for the so-called currency substitutes (including digital currency bitcoin) creation, flow motion was temporarily withdrawn.

Like last week’s local news sources reported by RNS, the bill (commonly known as the “Russian bitcoin ban”) after being the Ministry of justice dismissed, it is said that because the comment was not adopted, received some negative feedback. From the beginning of this year, the state legislature has been Duma in consideration of the bill.

Discussed are those in Russia issued or outstanding private currency were the degree of punishment. Russia’s report shows that some advocates that should be sentenced to years of prison and fined, but the latest news that within the government about how to regulate the technical differences.

Observers believe that the defects in the bill from the beginning it was doomed to fail.

One of Moscow’s partner at law firm TolkachevandPartners NikitaSoshnikov called the bill “unintelligible”.

Soshnikov told CoinDesk:

“The Ministry of finance does not provide encryption and currency crime of endangering public safety (the basic standard of crime) justification. The wording of the bill, so all kinds of activities about electronic money may be included in the definition of “currency substitution” in.”

In addition, according to Soshnikov, it is said that the act itself also contains many redundant representations, the Justice Department have been criticized.

“The Russian Ministry of Justice said that Russian criminal law has provided similar regulations, have profit using illegal means of payment to be punished for the crime of criminal behavior,” he said.

The Central Bank of Canada based on digital version of CAD development block chain

The Central Bank of Canada based on digital version of CAD development block chain

The central bank said yesterday, is developed based on the block chain technology the digital version of the Canadian dollar, known as CAD-coin.

According to “Financial Times” reported that the project codenamed Jasper, aims to explore new technology more widely. The other major banks, including Bank of Montreal, CIBC, Royal Bank of Canada, Scotiabank and TD Bank, as well as start-up Bank Consortium R3CEV, reportedly will participate in the work.

A group of slides Forbes published to provide more details about the project, that the Bank of Canada is testing a system, participants can be issued by the central bank cash deposit and then converted into CAD-coin.

After verification, the transaction will be treated, but the central bank will be retained in case of need to destroy the rights of CAD-coins.

The Bank of Canada’s senior vice president of CarolynWilkins, plans to make a speech on Friday, then the central bank will be issued on the plan and more details on technology.

KinerjaPay and Indonesia bitcoin companies to support bitcoin payment

KinerjaPay and Indonesia bitcoin companies to support bitcoin payment

Indonesia KinerjaPay electronic commerce and payment solutions provider leader, the company decided to cooperate with Indonesia bitcoin, bitcoin payment options to customers.

Customers in Indonesia now available online bitcoin payment, because KinerjaPay has on its platform to add a bitcoin currency as electronic payment options.

KinerjaPay announced a partnership with Indonesia bitcoin bitcoin company to promote its business partners in a recent press conference.

KinerjaPay, in addition to providing online online payment solutions to customers, it also has its own e-commerce portal, where people can direct shopping. KinerjaPay is the first to support bitcoin payment Indonesia e-commerce platform. Now at the time of payment, the customer can take their bitcoin directly and quickly converted into the Indonesian rupiah, transfers or in online shopping.

The development of Kinderjapay electronic commerce or Indonesia

KinerjaPay Indonesia is currently one of the fastest growing electronic payment platform. In the past two months, the company has increased by more than 300% users, soared from about 12000 to 50000 users. According to the company’s report, the daily trading volume are also rising.

Compared the 300 transaction with the previous day, now there are about 1500 transactions, the company is expected to further increase bitcoin payment transactions. At present, many online merchants in Indonesia did not accept the electronic currency payment system, and Indonesia bitcoin companies means that the company’s business cooperation will soon accept bitcoin payments. This will be for bitcoin users more choices.

KinerjaPay in order to make bitcoin more popular, has announced that it will provide a special offer for Indonesia bitcoin customers. With these special preferential plan to convert 150000 of Indonesia bitcoin customers for their customers. Indonesia, most people worried about the credit card, debit card fraud rather than the use of online payment. Provide a large volume of transactions and solve their problems to build trust in KinerjaPay is working through. Like bitcoin, users do not need to share his / her bank account or credit card details, which will provide an attractive option for the public.

As part of a rich reward, the company is also committed to their digital currency mining business, people can dig out the electronic money. When it comes to new development,

KinerjaPay CEO and chairman Edwin said:

This partnership enables us to establish a relationship with the Indonesian bitcoin company members, the bitcoin company currently has more than 150000 accounts. We hope to promote the number of transactions rose on our platform… We are also working on our platform to create a unique bitcoin mining elements, we believe it will be very attractive to our customers and provide a real e-commerce industry competitive advantage for KinerjaPay.”

KinerjaPay continuous innovation to promote the development of Indonesia online payment. Indonesia and bitcoin companies just want to cooperate many Kinderjaya companies, in order to gain the trust of customers, let them change about online payment and electronic money idea. In this area, is expected to have more development quickly.

Deputy director of the central bank credit center speech summary, the concept of China version of digital currency

Deputy director of the central bank credit center speech summary, the concept of China version of digital currency

In this paper the author have done in April 24, 2016 Chinese Financial Forum forty “fortnight Roundtable 158th” block chain and virtual currency innovation and development “on the yuan force, He Dong keynote comment, after finishing.

The design of digital currency needs to consider the following things:

First, to clarify the concept, definition and classification of digital currency, function, characteristic, put forward the definition of digital currency China, similarities and differences and relevance to distinguish the legal digital currency and private digital currency in the technical and economic characteristics and institutional arrangements, to discuss the process of digital currency fulfill the functions of money, and how to meet the high quality of monetary system the;

Second, the need for digital currency operation in-depth study, explore the withdrawal mechanism of the central bank, commercial bank two yuan issuance and circulation system, and based on digital currency transactions. On the basis of this discussion, meet the technical route and key technology of the operation mechanism of the choice, to carry out research and breakthroughs in key technologies;

Third, to the role and influence of digital currency on monetary and financial system to study;

Fourth, scientific top-level design digital currency supervision form based on the above research results, including the development and design of digital currency, to develop appropriate regulatory coordination tools, select the appropriate regulatory control index.

Chinese digital currency

1, digital currency: from the three party to the two party model breakthrough mode

Most people think of digital currency, are from the economic and financial perspective, rarely from a technical perspective, its principle.

First talk about the evolution of digital currency. In fact, digital currency from the beginning of the last century in 70s and 80s, and now has a history of nearly 40 years. “Digital currency” father DavidChaum wrote an article in 1982, has proposed a anonymous and untraceable electronic money system theory, which is the earliest digital currency. In 1990, he founded DigiCash, and developed E-Cash currency, the real cause of the industry of digital currency interest. There is a book called “out of control”, the author thinks that DavidChaum has changed many people’s idea, he is said to Chaum worship is a bit like a lot of people to worship Jobs. When we received this topic is from E-Cash onwards carding, rather than from bitcoin, bitcoin is just a link in the middle of the.

The basic idea of Chaum is traditional, his model is the common mode of the three party. What is the three party model? One is the bank, is one person, one is business. From the abstract sense, the relationship between the three parties, namely the customer cash payments to merchants in the bank, merchants bank deposits. Further research, such as group blind signature, for example, even bargain offline transactions, such as currency division and so on, are launched on this basis. UnionPay is four mode, the bank card organizations and commercial bank terminal division, is actually a traditional three party model variants.

A study on the most important of all, is how to improve the safety and efficiency of the three party model, reduce the cost. But in the new century, Nakamoto bitcoin development the three party model has undergone a fundamental change. Before either ecash, emoney or other typical systems, a sense did not win so much like bitcoin attention. Bitcoin breakthrough where?

Although we are here today to say in the digital currency and virtual currency concept, but Nakamoto himself did not mention the digital currency and virtual currency, called “his thesis topic: bitcoin electronic cash system” a point of the research orientation is a new idea of electronic payment of. Nakamoto So’s intention is very clear, he put forward a completely through point to point technology of the electronic cash system. But the meaning of this sentence is revolutionary: the original research is the three party model, after the three party model can subtract a ring, into two party transactions, to barter the earliest point in the deeper meaning. People used to do through the trials of a long journey to point-to-point transaction, but now through advanced technology can not rely on trust intermediary and rely on open the books to achieve. Therefore, Nakamoto is the breakthrough point of the transaction, this is a real breakthrough, from the three party to the two party mode mode is the nature of change.

Such a change, make everyone autonomy in payment behavior is greatly enhanced, so it has a great influence on the whole society.

2 theoretical basis, digital currency

From the financial point of view, many people have linked with Hayek’s theory of bitcoin, IMF’s report also mentioned this point.

I have no objection to the hook. But private bitcoin monetary theory and Hayek are essentially different. Hayek called on and hope the private currency has two basic premise. The first is to have full competition, competition will make the best money coming; second, win in the competition of the currency, is a group of the price of raw materials as a commodity for standard (commodityreservestandard) foundation. This commodity standard or “price index standard” (tabularstandard) can operate automatically, so the operation can be entrusted to the private. Because it is in accordance with a pre selected set of goods to measure, so the issuing agencies will be forced to maintain a stable currency value. This is not just private monetary theory with machine algorithms or imaginary things can issue currency.

We are the first to discuss this matter, on how to define the concept of. Electronic money is the earliest we accept, this is a currency support, but like the TV signal from the analog signal to digital signal, we have from the concept of electronic digital electronic money go to, now don’t seem to mention.

Said virtual currency also has some truth, the virtual and the real world is opposite, but in fact the network world is not a virtual world, but the reality of the world. If it is not from behind the assets support point of view, I am in favor of bitcoin is the concept of virtual currency, at least more than false money. The problem is, once bitcoin from the virtual world to the real world, behind the support with no assets highlights. In a sense, the so-called “bitcoin mining” is essentially an attempt to calculate the “labor” reached extortion of human wealth — that is a strange variation of “labor” theory of value? Of course, it does not seem to hinder the function of bitcoin as tokens.

Based on the digital currency can be divided into account and not based on the accounts of two.

When we make our own internal discussions, proposed based on the account (“account-based”) and wallet (“wallet-based”) based on the concept, so some people think that the wallet is the account that beg to differ. At this point, I BenBroadbent and deputy governor of the Bank of England the article slightly different view. The electronic wallet is similar to the safe deposit box, this box can not only use their own keys, but also through the intelligent contract authorized others took the key; and the control box get to the root of the problem at the user end, commercial banks may not have the right to open. This and the original account system is not exactly the same, not equal to the traditional account concept, it will affect our understanding of digital currency and related design.

Many people may want to learn some ideas in the design of digital currency on central bank, in fact done in principle has been explained clearly:

Technical route of “digital currency can be divided based on the account and not based on account of two, can also be used to coexist and stratification.” When we first started to contact the digital currency, there are two models. The first is the central bank directly to the customer, the second is two yuan structure of commercial banks. As you can see, the central bank announced that two yuan, and the UK is quite similar to RSCoin. At present, this may be a better choice.

3, research on several key points of digital currency

The design of digital currency is not an entirely theoretical category of things, it is also the need for verification in practice. Now the digital currency circle inside, even the advocates of open source, but there are a variety of programming languages, the main direction is different, the capital and technology in the competition. For us the need of theoretical research and business research, but in the actual operation process, consideration will be more.

We believe that we should do the following:

First, to clarify the concept, definition and classification of digital currency, function, characteristic, proposed digital currency Chinese definition. Don’t be narrowly understood as bitcoin is a digital currency, we have from the private digital currency up to the statutory digital currency such a perspective to examine this problem completely. To distinguish the legal relationship and the similarities and differences between digital currency and private digital currency in the technical and economic characteristics and institutional arrangements, to discuss the process of digital currency fulfill the functions of money, and how to meet the conditions of high quality monetary system.

Second, the need for digital currency operation in-depth study, explore the withdrawal mechanism of the central bank, commercial bank two yuan issuance and circulation system, and based on digital currency transactions. On this basis, discussed to meet the technical route and key technology of the operation mechanism of the choice, to carry out research and breakthroughs in key technologies. In a sense, the central bank alone to do this thing is incompetent.

Since our implementation is two yuan structure, commercial banks will need early intervention. BenBroadbent this paper describes a kind of extreme situation: when the economic situation is not good, we have to put money in the wallet from the commercial bank. This will lead to a run phenomenon, leading to collapse. After I saw this deduction, the first thought is the design of the electronic wallet whether there should be the upper limit to prevent this from happening. However, the central bank can own all risks to clear? To do this, is the risk control system is very important, in this regard, commercial banks as an important part of the risk control of their own to understand more deeply.

I think Chinese payment environment is relatively developed, but the development of digital currency is deeper. On the one hand, the design of digital currency itself should be concise and efficient; on the other hand, the commercial application of digital money as much as possible to the market to do. Of course, the standards of good. Now, IBM OBC Ethernet Fang, in smart contracts under a lot of effort, but I think it is not necessarily a digital currency itself, digital currency will certainly carry smart contract features necessary, but need to be so complicated?

Third, is the role and impact of digital currency on monetary and financial system to study. Bitcoin now what is means of payment, currency, or commodity? This problem has been controversial, governor Zhou said it is similar to the stamp, I think there’s a reason. Compared to the dollar Renminbi such a huge monster, bitcoin is a very small volume. But if the central bank issued a digital currency, it will be very different. We want to focus on the application of digital currency for payment system security and efficiency, reconstruction of the existing retail payment infrastructure and payment system and coordination.

Now, whether it is bitcoin or block chain, are trying to expand their territory. For example, lightning network design, the main chain gradually sinking as application level RTGS, micro payment will go up for lightning network; such as the mixed database research, the traditional database and the database based on the combination of block chain. For us, if we consider the application block chain, we should consider with traditional payment boundary in what place? Both in what way will fusion? With the traditional methods of payment is two skins, in apple trees grafted on a pear, or the apple tree into a pear? Apple and pear trees and how the interaction?

As a new form of currency, to focus on the study of digital currency to change, the central bank and commercial bank balance sheet currency supply and demand, currency level, interest rate, monetary policy transmission mechanism.

Fourth, scientific top-level design digital currency supervision form based on the above research results, including the development and design of digital currency, to develop appropriate regulatory coordination tools, select the appropriate regulatory control index. Supervision should be to what extent? Like just a few of the teachers said, anonymity is very important, a recent article DavidChaum made a further study on anonymity called cMIX, is actually a hybrid network, proposed how to achieve anonymity while the technology conditions, and under certain conditions to allow law enforcement agencies to put the bad guys out. When we do research on the digital currency, has actually done this, but because of the limitation of technology, we are more design in the system.

4, key cryptography

Digital currency to be successful, some conditions are necessary. Borrow the words of DavidChaum, a new currency in order to survive, must first have the very deep thinking of money. Secondly, we must understand the cryptography. Nakamoto So. Where? He used the block + chain design products, through the hash function and hash chain data structure and other means to ensure the consistency of distributed books; take the digital signature mechanism of non symmetric cryptographic algorithm based on elliptic curve in the identification and transaction confirmation, in order to guarantee transaction security under distributed environment. His doublehashing design is profound, not redundant, some people even think that can resist the attack of quantum computers. So, if you don’t work in cryptography, the system will appear a lot of problems. Third, Chaum think it must be self consistent in theory. Fourth, to have enough power to develop ideas into products. Fifth, encoding ability. Sixth, to have enough social ability, can establish a successful community around this product.

For us, the “community” is small in terms of two yuan system said before, since all parties involved, and even can be said to be the whole society, we need the support of. In view of the rapid development of technology, in the basis of our benefit by mutual discussion, must also be considered in advance, technology upgrading, development concept from the initial introduction of long term evolution.

When it comes to money, with awe……

The dog coins Gann speech: Internet plus money with the combination of digital currency

The dog coins Gann speech: Internet plus money with the combination of digital currency

2015 Asian encrypted digital assets and Technology Symposium, President Chinese Gann’s speech: dogs currency Association Internet plus money with the combination of digital currency, the digital currency into life, reward culture and grassroots culture is the core of cultural dog coins

Technology giants sit still, Tencent, HUAWEI joined the block chain alliance

Technology giants sit still, Tencent, HUAWEI joined the block chain alliance

In May 31, 2016, the financial block chain alliance (Shenzhen) the first inaugural members of the General Assembly held in Shenzhen Wuzhou hotel.

China companies are catching up a golden opportunity to block chain development.

Surging news was informed that the afternoon of May 31st, focusing on financial cooperation alliance block chain block chain in financial applications (Shenzhen) was formally established. The alliance including assembly of the micro public bank, Ping An Bank (000001, shares), CMB network, Hundsun Electronics (600570, shares), 31 companies of Jingdong, financial Tencent, HUAWEI, silver chain technology, Shenzhen Financial Information Services Association, which launched 25 units, Tencent, HUAWEI 6 agencies as members join.

Previously, Chinese first block chain alliance China based distributed ledger (ChinaLedger alliance) alliance agreement in April 19th has been set up in Beijing, the coalition of the inter agency license quotation system of Limited by Share Ltd and other 11 institutions jointly.

It is reported that the financial block chain alliance (hereinafter referred to as the “Golden League”) aims to integrate and coordinate the financial block chain technology research resources, financial blockchain technology research and Application Research on the force and coordination mechanism, improve the development of members of the unit in the technical field of blockchain ability, exploration, development, implementation of block chain finance for alliance in the financial institutions, and the application on the basis of the scene.

In the international financial, block chain alliance is the most famous R3, the alliance was founded in September 2015, the world ranking of more than 40 financial institutions were before joining the Union recently, China Ping (601318, shares) group as the first member of Chinese, joined the R3.

At the inaugural meeting, deputy secretary general, Shenzhen silver chain long chain alliance Technology Co. Ltd. CEO Shen Tu youth said:

“Golden League goal is to develop one or more financial chain block in 3 to 5 years, launched the block chain terminal application of a variety of popular, making a number of high level league standards, a number of patented technology application block chain.”

In the 70% League members of chain, financial institutions, 30% financial technology companies and Internet companies, block chain alliance organized by financial institutions to promote, will make the application faster landing.

According to reports, the Union launched a total of 25 members which are: finance, securities, Jingdong, Chongqing Boshi fund shares center, first capital securities, Fuld Insurance Holdings, Guoxin Securities (002736, shares), Hundsun, the South Fund, Ping An Bank, Qilu Stock Exchange Center, Ping An Jinke, micro focus banks, gold card stock (600446, shares), Shenzhen, Jinxin (300377, shares) win win, Zhiyuan Intersteno, forms Syntron (300468, shares), silver chain, Shenzhen Tong, Wuhan Science and technology exchange center, China Merchants Securities (600999, shares), shares in the network, CMB the group, in the letter of credit. In addition, 6 is also a member of Huaan Gold Union insurance, HUAWEI, Qianhai shares, Qianhai life insurance, Tencent, Shandong City firm alliance etc..

The chain alliance Secretariat is located in Shenzhen Financial Information Service Association, the Secretary General Li Shen Ren chain League secretary general, silver chain technology CEO Shen Tu youth served as deputy secretary general, Shenzhen Tong two R & D department director Su Xusheng and micro public bank innovation research director Yao Huiya served as deputy secretary general.

The chain is also discussed and approved the union alliance research plan. Shenzhen Tong on block equity trading institutions to carry out research on OTC equity market platform block chain based on micro public bank responsible for the underlying technology platform, the study area chain block chain block chain cloud services and financial products market in one or two, in the letter of credit to be responsible for the project lead study block chain credit services etc.. Fuld Insurance Holdings, Qianhai life insurance, Huaan insurance Mutual Insurance Co lead of science and technology, Hundsun led research blockchain bill management subject and the etheric Fang light purse subject.

At present, the international financial giants layout block chain. In addition to R3, the global blockchain Committee was established in Dubai in November 2015; the LINUX Foundation began to build HyperLedger in December 2015; Japan was established in April 2016 to block chain alliance (BCCC).

In the near future, Chinese also began to join the international block project chain enterprises. China blockchain startup Onchain5 announced it has formally joined the Hyperledger project, the project became the first from the China block chain technology co..