Even though Bitcoin and Blockchain technology can hold the United States its spiritual home, the country seems to be lacking when compared to the rising dragon of the East- China. According to reports, nearly 60% of all crypto-related activities is still based in the USA.
For a very long time, China had maintained a very strict posture toward crypto technologies. It even banned and outlawed all dealings in cryptocurrencies in late 2017. However, in the past few years, China has emerged strongly as one of the key countries looking to adopt revolutionary technology in new ways.
In this article, we will look at how the governments of the two countries have moved forward in their reading of the new tech. We will also look at some current trends and see the direction in which, both countries are heading.
Why has the USA fallen behind in the Crypto and Blockchain Tech Race?
There is a consensus that for the past few years, the hostile attitude adopted by the US government has severely impaired its understanding.
In simple words, rather than looking to engage with the new technology and look for ways and means of benefitting from the same, the US believes that technology can harm it.
This is not only an inward-looking problem but also one, which is not fitting of a global world and economic leader. The government of America under Donald Trump has categorically maintained that they do not consider Bitcoin/Cryptocurrencies to be important.
Trump once famously remarked that the value of Bitcoin is based out of thin air.
The different bodies of the US government including the Federal Reserve and the SEC have all been vocal in their disdain towards this technology. This has made efforts to build consensus with enterprising private players very difficult.
It has only been in the past few months when forced by Wall Street that the government has once again constituted committees to understand the subject. However, the focus still wrongly revolves around regulations, malpractices, and taxations on Bitcoin.
How China has taken the lead in Crypto and Blockchain Technology?
Many analysts and experts are of the opinion that China’s vision of being a world leader has necessitated its adoption of Blockchain technology. Ever since Xi Jinping stated on a public platform about the benefits of Blockchain technology, the entire ecosystem was abuzz with what China is planning.
Buoyed by Facebook’s new digital currency, China started working on its own and launched the same within six months! The Chinese state media outlet Xinhua carried a piece, proclaiming how the new technology can be instrumental in everything from artificial intelligence to 5G technology.
Technological advancement is one of the foundation stones of China. It has achieved global dominance when it has come to manufacturing. It now wants to corner the world and use Blockchain and its own digital Yuan to counter the supremacy of the dollar in international trade.
What does the future hold for Blockchain tech and Cryptocurrencies in these two countries?
Analysts and experts who follow this technology state that unless the US goes into overdrive, it will forever lose its chance to China. This is something, which some of the biggest tech giants in the USA are suggesting to the government.
However, it is no secret that the US is much behind China in the race to achieve global dominance in this sphere. China on its part has already rolled out its own crypto with the help of its billion-dollar private players like Tencent and Ali Pay.
Concerning Blockchain tech, China’s judiciary has already started using the same in its legal dealings, judgments, sentencing, and fines. China’s agriculture department to has started paying its employees in digital currencies.
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HussaiN is a full-time professional blogger from India. He is passionate about content writing, Tech enthusiast & computer technologies. Apart from content writing on the internet, he likes reading various tech magazines and several other blogs on the internet.