The central bank favors the block chain, which has implications for investors and Bitcoin speculators


nnnAlthough the central banks and the government’s attitude towards Bitcoin is not clear, some have even shown a disgust, but they all recognize the strong role of the block chain, also have to join the technology in the relevant research. This situation has a great revelation for those who wish to participate in digital money and block chain investments, that is, to minimize the investment risk, it should focus on investing in block chain technology rather than Bitcoin itself.n
nnTranslated by: Inan
nAt present, investors need to understand that although the bitcoin is marginalized, but the block chain will not disappear, because the central banks like the technology. All people have to weigh their expectations of Bitcoin and Block Chain, minimizing risk and maximizing revenue.n
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nDoes the government accept Bitcoin?n
nI have written an article on digital money and got feedback from many readers. One of the readers said he thinks digital money may become the most important financial asset in the future, but the central bank will not allow this phenomenon to happen. Many people also have similar ideas. In short, the government will not allow the development of Bitcoin. They will be in the real currency before the real growth will be destroyed. The government hates Bitcoin.n
nIndeed, “Fortune” magazine published such a sentence:n
nn”A large government can not tolerate Bitcoin, which may break its monopoly, threaten its currency and make the economy cater to the interests of the rulers.”n
nnAlthough Bitcoin has not yet been completely destroyed, but has suffered some setbacks, such as a number of Bitcoin funds listed applications have been rejected. In general, although the US government did not completely kill Bitcoin, but also did not express its approval and support.n
nAnother way to think, if the government destroyed the bitbell will happen? I think that even if this day comes, people do not panic, because the block chain still exists.n
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nBitcoin in the government and the central bankn
nAlthough Bitcoin may die because of government and policy, we all know that the technology that supports Bitcoin is a block chain, which is more important because it is favored by central banks.n
nn”While the central bank does not want to own or use Bitcoin directly, it wants to be able to use the decentralized record-keeping approach, that is, a block chain or distributed book, that is introduced, and thus more efficiently, quickly and transparently, Trade in the economy.n
nnOther reports also said,n
nn”If the central bank succeeds in using the chain, then the technology will be an unexpected turning point: an attempt to abolish the central bank and make money more difficult to track the innovation eventually instead serve the central bank and make the funds easier to track.n
nnIn fact, the Bank of England has even said that the chain chain may “reduce real interest rates, reduce distorting taxes and money transaction costs, thereby increasing GDP by 3%.”n
nCentral banks like the block chain, are on its vigorous study. Of course, this does not mean they also like and are willing to accept Bitcoin.n
nBut outside the United States, some governments are directly embracing Bitcoin, rather than block chains:n
nnJapan accepts Bitcoin as a legal form of paymentn
nBit coins in Korea can coexist with the legal currencyn
nAustralia plans to treat Bitcoels as currencyn
nnTherefore, the field from different angles of pressure is growing. Although the future of Bitcoin is uncertain, but the fate of the block chain is very clear. We have to consider investing in options and adjusting risk.n
nSome governments directly support Bitcoin, which, while supporting digital money, naturally supports its underlying technology.n
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nCentral bank safety netn
nCentral banks are considering the technology. According to the International Monetary Fund, 15% of the big banks will begin to use the chain chain by the end of this year. In addition, He Dong, who is responsible for digital money research at the International Monetary Fund, believes that the central bank may change to digital money in the next five to ten years, but it depends on the rate at which the banking system uses block chains for financial transactions.n
nThe central bank will not ignore the block chain, they need to maintain their own control. So, although Bitcoin is now considered cumbersome, but the block chain is the need to unlock the technology. People are already using block chains to track and strengthen accountability.n
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nParticipation in Bitcoin and Block Chain Investment?n
nAfter understanding the “central bank safety net”, how are you going to invest in Bitcoin and Block Chain? This takes seriously.n
nnFirst of all, people can invest in Bitcoin, which is direct, but the risk is the highest.n
nSecond, you can invest in a coin investment trust. Although this is more secure than direct investment, but the risk is still high.n
nThird, you can invest in bitcover mining, which is less risky because its investment channel contains more than just bit currency, including network security and privacy hardware.n
nFourth, you can invest in hardware that supports bitmember mining, such as Nvidia (NVDA) and Advanced Micro Devices (AMD). Obviously, NVDA and AMD include a variety of products, not just related to Bitcoin.n
nFifth, companies that can invest in the provision of Bitcoin services. These companies dig out bits of money and also provide hosting services. If Bitcoin is eliminated, these companies will bear the brunt.n
nSixth, you can invest in companies that focus on the development of Bitcoan technology, such as IBM. This large company will make the user’s investment risk greatly reduced.n
nnIf you are concerned that Bitcoin will collapse, you can reduce risk by investing in NVDA, AMD and IBM, and remember not to put the eggs in the same basket.n
nIf you are afraid to take risks and want to catch up with the trend of this technology, then invest in IBM such a company is the best choice, because the company to accept the block chain technology and in the financial sector has a solid foundation. Similarly, NVDA and AMD are also a better choice.n
nIn short, we can participate in digital currency and block chain investments by observing central bank policies. Although the future of Bitcoin will be unclear, but the block chain will undoubtedly continue to exist and development. Therefore, the investment chain chain is more conservative and more secure way.n
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nin conclusion n
nThe central bank likes the block-chain technology, which sees the prospect of cost savings and efficiency gains. Obviously, when they implement the technology according to their own wishes, they will gain power and control. This means that the investor is clearly supported by the technology.n
nTherefore, people can choose the risk of investment. Even if you do not invest directly in the currency, people also have the opportunity to catch up with this growing technology boom, because the block chain technology more and more favored by the banks elite.n

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