Donald Trump’s Impact on Cryptocurrency and China’s Digital-Asset Market

Tuesday, 12 November 2024, 01:00

Donald Trump’s pledge to enhance cryptocurrency initiatives is sparking discussions on how China may revitalize its digital-asset market. Industry expert Xiao Feng, from HashKey Group, suggests that a clearer crypto policy from the U.S. could accelerate China's acceptance of cryptocurrencies. Despite China’s current restrictions, the potential for regulated stablecoins is becoming a focal point in cross-border trade.
Scmp
Donald Trump’s Impact on Cryptocurrency and China’s Digital-Asset Market

Donald Trump’s Influence on Cryptocurrency

Donald Trump’s recent campaign promises regarding cryptocurrency are creating potential shifts within the global digital asset landscape. His commitment to deploying policies supportive of blockchain technology may drive China to reassess its stringent stance on cryptocurrencies.

Xiao Feng’s Insights

Xiao Feng, chairman of HashKey Group, articulated that if U.S. policymakers establish a clear framework for cryptocurrency, it could hasten Beijing's acceptance of digital assets, possibly reducing the anticipated timeline from five years to just two.

The Background Impact from Global Events

Recent international sanctions, particularly those aimed at Russia and linked to the Swift financial messaging system, underscore the need for China to explore its options in the cryptocurrency sector. Xiao notes that stablecoins could serve as a valuable solution in cross-border transactions.

Prospects for China’s Digital-Asset Market

  • Current Restrictions: China has maintained a strict ban on cryptocurrency activities.
  • Potential for Stablecoins: Xiao suggests a focus on regulated stablecoins for smoother commerce.
  • Market Demand: Survey insights indicate a significant interest in stablecoin transactions among Yiwu merchants.

HashKey Group’s Expansion

Located in Hong Kong, HashKey Group is poised for growth in the fintech realm, with expansion across Asia despite the changing dynamics in the crypto landscape.

To learn more about this developing story, please visit the source.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


Related posts


Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe