The Chinese special administrative region is taking measures in order to prepare for the roll out of the Chinese government’s digital Yuan – e-renminbi. The chief executive officer of Macau Ho Lat Seng revealed that the amendment of laws is under works to allow the issuance of the digital Yuan. A feasibility study is to be launched by the island territory in tandem with the People’s bank of China.
Chinese regulators have not been a fan of cryptocurrencies. The digital yuan is designed to curb problems the tax evasion problem faced in the gambling industry of Macau. The digital RMB is poised to increase government scrutiny and control. Ho further stated the possibility of the digital yuan replacing Macau’s Pataca as the main currency.
The launch of the Chinese digital yuan has raised concerns in the cryptocurrency community as it is the first regulated digital currency launched by a country as strategically important as China. The cryptocurrency market in the country can be overshadowed by the digital currency as the nearly 1.5 billion population of the country moves to adopt the digital yuan.