PANews reported on March 21 that Zhang Ming, deputy director of the National Financial and Development Laboratory, published an article in the Study Times titled "Digital Currency Reconstructs the International Financial System", which pointed out that Bitcoin is not a real currency, but a peculiar financial asset that has investment value. Bitcoin is more like a risky asset, and also like a safe-haven asset that can hedge against fluctuations in the US dollar exchange rate.
The article proposes a response strategy to the reconstruction of the international financial system by digital currency. On the one hand, the scope of digital RMB's replacement should be expanded from M0 (cash) to M1 (cash plus demand deposits) and even M2 (cash plus all deposits) as soon as possible. On the other hand, China's stablecoin construction should be promoted and the use of digital tokens on Internet platforms should be expanded, so as to more calmly respond to the challenges of the US dollar stablecoin.
