2018年CRI Digital currency will go through tests before issuance: PBOC Governor

 

China's central bank has said that its research into digital currency is still progressing, and reiterated¹ that digital currency products need to be tested before they are put into use.

The Governor of the People's Bank of China, Zhou Xiaochuan, made the remarks when commenting on the prospects² for the regulation and use of digital currencies in the country.

The People's Bank of China set up a research institute three years ago to conduct research into issues around the use of digital currency. 

And last year, a research project organized by the central bank was officially approved by the State Council.

According to Governor Zhou Xiaochuan, the Bank is currently engaged in research and development and working out solutions by tapping into the resources of the business community.

"We could say that the development of digital currency technology is inevitable³. In the future, the use of paper money and coins may gradually decrease and even one day disappears. This is possible."

But meanwhile, he stressed that the product must be carefully tested before they are put into use in order to reduce risks to the financial system.

"In this process, we need to pay attention to financial stability and prevent risk. In the meantime, digital currency must be able to guarantee the transmission mechanism⁴ of monetary⁵ policy and financial stability. We should also protect consumers. Some technical solutions are too risky⁶. It may lead to loss for consumers. As a large country, we need to be cautious to prevent unfixable loss."

Bitcoin and ICO financing has been a hot topic in recent years. 

While these innovations are important of new financial tools, Zhou Xiaochuan says that caution is required.

"We encourage innovation. But beyond market incentives⁷, we should look to the larger picture and prevent unexpected issues due to loopholes in policies."

The People's Bank of China suspended ICO financing last August, which was followed by its discouraging tone toward the direct transaction of Bitcoin and RMB. Digital currencies are not currently accepted as a means of payment by the banking⁸ system.

Regarding further steps towards digital currency regulation, Zhou said that regulators haven't decided⁹ on the details but revealed that one of their goals is to prevent these new technologies from becoming products for speculation¹⁰.

Zhou also touched on changes to China's growth model, indicating that the country will pursue high-quality growth instead of growth requiring extensive capital input¹¹.

Regarding the further internationalization of China's currency, the RMB, Zhou said that it has increasingly been allowed to be used in international trade and investment activities. The RMB has also been included in the basket of currencies for the SDR, or Special Drawing Right. But Zhou said it may take a long time before the RMB is used widely by market players.

1 reiterated   

反复地说，重申( reiterate的过去式和过去分词 )

参考例句：

• "Well, I want to know about it,'she reiterated. “嗯，我一定要知道你的休假日期，"她重复说。 来自英汉文学 - 嘉莉妹妹
• Some twenty-two years later President Polk reiterated and elaborated upon these principles. 大约二十二年之后，波尔克总统重申这些原则并且刻意阐释一番。

2 prospects   

n.希望，前途(恒为复数)

参考例句：

• There is a mood of pessimism in the company about future job prospects. 公司中有一种对工作前景悲观的情绪。
• They are less sanguine about the company's long-term prospects. 他们对公司的远景不那么乐观。

3 inevitable   

adj.不可避免的，必然发生的

参考例句：

• Mary was wearing her inevitable large hat.玛丽戴着她总是戴的那顶大帽子。
• The defeat had inevitable consequences for British policy.战败对英国政策不可避免地产生了影响。

4 mechanism   

n.机械装置；机构，结构

参考例句：

• The bones and muscles are parts of the mechanism of the body.骨骼和肌肉是人体的组成部件。
• The mechanism of the machine is very complicated.这台机器的结构是非常复杂的。

5 monetary   

adj.货币的，钱的；通货的；金融的；财政的

参考例句：

• The monetary system of some countries used to be based on gold.过去有些国家的货币制度是金本位制的。
• Education in the wilderness is not a matter of monetary means.荒凉地区的教育不是钱财问题。

6 risky   

adj.有风险的，冒险的

参考例句：

• It may be risky but we will chance it anyhow.这可能有危险，但我们无论如何要冒一冒险。
• He is well aware how risky this investment is.他心里对这项投资的风险十分清楚。

7 incentives   

激励某人做某事的事物( incentive的名词复数 )； 刺激； 诱因； 动机

参考例句：

• tax incentives to encourage savings 鼓励储蓄的税收措施
• Furthermore, subsidies provide incentives only for investments in equipment. 更有甚者，提供津贴仅是为鼓励增添设备的投资。 来自英汉非文学 - 环境法 - 环境法

8 banking   

n.银行业，银行学，金融业

参考例句：

• John is launching his son on a career in banking.约翰打算让儿子在银行界谋一个新职位。
• He possesses an extensive knowledge of banking.他具有广博的银行业务知识。

9 decided   

adj.决定了的，坚决的；明显的，明确的

参考例句：

• This gave them a decided advantage over their opponents.这使他们比对手具有明显的优势。
• There is a decided difference between British and Chinese way of greeting.英国人和中国人打招呼的方式有很明显的区别。

10 speculation   

n.思索，沉思；猜测；投机

参考例句：

• Her mind is occupied with speculation.她的头脑忙于思考。
• There is widespread speculation that he is going to resign.人们普遍推测他要辞职。

11 input   

n.输入(物)；投入；vt.把(数据等)输入计算机

参考例句：

• I will forever be grateful for his considerable input.我将永远感激他的大量投入。
• All this information had to be input onto the computer.所有这些信息都必须输入计算机。