China’s Central Bank is Launching its own Stablecoin

By Chetna Phour

The Digital Money Institute at China’s central bank is looking for a cryptocurrency expert who can assist the bank to develop a crypto related platform.

China’s central bank, People’s Bank of China (PBoC), is planning to expand its operations in the field of cryptocurrencies. For this purpose, the bank is hiring two crypto experts who can join them as engineers and can help the bank to develop a platform which facilitates crypto transactions. The bank is also looking for two experts in the field of economic law and finance.

Recently People’s Bank of China published an advertisement on its website. According to the advertisement, the engineers have to develop a big data platform as well as a chip processor. Some specific responsibilities which an engineer must have include:

• Developing the required software system
• Encryption technology
• Developing security model
• Research and development of the terminal chip technology which can facilitate cryptocurrency transactions.

According to the advertisement, economic law and financial experts needed to handle the legal research aspects including analysis of risk management and economic mechanism.

Recently, Li Liangsong an expert from the People’s Bank of China advised the government to launch its own Yuan backed stablecoin despite the current ban on the cryptos. Li reviewed USD backed coins such as Tether, Paxos Standard, and Gemini dollar and found that these USD backed stablecoins will increase the role of US Dollar on the global stage and suppress other fiats including yuan. According to Li, China must analyze the efforts of other companies in creating the local stablecoin. Li suggested that even after creating its own yuan backed stable coin, other cryptocurrencies have to stay prohibited in the country.

After the release of Li’s report People’s Bank of China has planned to launch its own stablecoin and started the search of the experts who can develop the stablecoin and the platform. In the advertisement, the bank has also listed its research policies on legal digital currency as a requirement of the successful applicant.