(BTC) Bitcoin News TodayChinaCryptocurrency

China’s strict Social Credit System increases the need for Bitcoin in China

The Chinese government has gained full control over the country after implementing the Social Credit System. Because of this strict social credit system, people of China will less rely on fiat money and will move their attention to Bitcoin.

The government keeps controlling its people and now it has gained access to credit and online transactions. People will be able to get access to financial benefits on the basis of their social scores.

According to the report of XinhuaNet, in this updated social credit system, the Chinese government will take into consideration some of the factors in order to allow people with social scores. These factors include fake divorces, defaults on paying bank loans and acquiring multiple loans from several banks at the same time.

The Primitive Ventures founder Dovey Wan says in a Tweet that the administration will restrict people’s access to credit.

Authority to increase Surveillance and Censorship

After updating the social credit system, the Chinese government has enabled the authority to increase its censorship and surveillance.

📰 Also read:  Reddit Sold Most of Its Bitcoin During the Third Quarter, SEC Filing Shows

The Ministry of Industry and Information Technology (MIIT) will use Artificial intelligence in order to monitor all internet users in the country. All online transactions will have to go through facial recognition. The government will use AI system to cross-reference the faces of users. In this way, the government will be monitoring the whole online activity.

Bitcoin to play its role

The need of the world’s leading digital asset has increased after the implementation of the Social Credit System by China. Chinese people cannot rely on fiat money therefore Bitcoin will play its role as a medium of exchange for Chinese people.

While using bitcoin, people will remain anonymous. Therefore, the government will not be able to keep its eye on them. So, it is expected that people will direct themselves toward the leading digital asset.

📰 Also read:  Bitcoin Crosses Above $67k as Traders Navigate 'Liquidity Hunt' Post-Rally

Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at info@tokenhell.com if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. Tokenhell is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.

📰 Also read:  Howard Lutnick Backs Trump's Economic Policies as Boost for US Prosperity

Davis Byrne (US)

Davis Byrne got into the cryptocurrency world in 2013. He contributes technical chart-based price updates and price analysis on the world's leading digital currencies.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Skip to content