When will China issue a counterfeit currency (issuance of counterfeit currency)?

When will China issue a counterfeit currency? Editor’s Note: This article is from 8btc (ID: bitcoin8btc), written by Kyle and published with permission from the Planet Daily.

On September 28, 2018, the first counterfeit currency was born with Bitcoin. According to data from Coinmarketcap, the top five cryptocurrencies are currently BTC, ETH, and XRP. The most notable one is EOS, with a market value of 1.5 billion US dollars and a 24-hour trading volume exceeding 1 trillion Chinese yuan.

When will China issue a counterfeit currency? Why does counterfeit currency appear? Is there no alternative on the blockchain, can only one technology replace a system? What if this project becomes the world’s leading technology?

So the question is: What is a counterfeit currency? What is it used for?

The answer to these questions is Bitcoin, or Ethereum. But these cryptocurrencies do not require the use of any other technology for development. Therefore, they can only serve as payment tools or exchange media. Ethereum is more like a platform rather than a decentralized application.

So, we believe that there is not enough available to support various applications, such as virtual assets in games and other services. However, over time, this situation will change – from the initial Bitcoin network to the current Ethereum network.

Bitcoin is a digital currency based on blockchain technology. But its distribution model is very simple and rude: first, Bitcoin will execute transactions through smart contracts; second, the smart contract is maintained by a third-party custodian. Finally, users do not need to know how to verify its authenticity, nor do they need to worry about the possibility of exchange theft.

This is the so-called “counterfeit currency”, referring to those applications that have no value. People may misunderstand it as a scam, but they just want to make money using cryptocurrencies such as Bitcoin. In fact, many investors think this way: “Today, either because your wallet is lost, or because there is a bunch of junk information on your mobile phone.” However, some people also say that you may not have enough cash in hand, and it is very likely that you will convert all your funds into counterfeit currencies.

For example, Bitcoin, many miners have started mining, and some even claim to have mined a Bitcoin, and then sold part of it and mined it again. But the actual situation is not so. According to statistics, about a year later, the mining pool has invested a lot of money in Bitcoin.

In addition to these mining giants, China’s largest listed company, CITIC Securities, is also producing its Bitcoin futures. In July of this year, TSMC released the first news about Bitcoin futures:

TSMC stated that it is studying the launch of Bitcoin futures products, and may launch more Bitcoin derivatives in the future.

Issuance of counterfeit currency

According to CCN’s report, after the end of the 2018 ICO frenzy, the rise of the “counterfeit currency” concept once again attracted the attention of cryptocurrency enthusiasts. Companies that issue their own tokens or securities-like tokens have begun to enter the blockchain industry. “Bitcoin, Ethereum, and other digital assets developed based on the consensus algorithm (PoW) have strong market potential and scalability.” According to data from CoinMarketCap, there are currently 9 “counterfeit currencies” among the top 100 cryptocurrencies in terms of market value.