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Tether to Roll Out Yuan-Backed Stablecoin That Will Probably Enrage Chinese Regulators

  • Alex Dovbnya
    📰 News

    Tether is yet to launch its previously announced stablecoin that is backed by the Japanese yen

Tether to Roll Out Yuan-Backed Stablecoin That Will Probably Enrage Chinese Regulators
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Contents

Flagship stablecoin issuer Tether will reportedly expand its fiat offering by issuing a new coin that will be backed by the offshore Chinese yuan (CNH). The plan is unlikely to sit well with China’s financial regulators.

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Will there be demand?

As of now, Tether controls tokenized US Dollars and Euros. As Dovey Wan of Primitive Crypto points out, there might be not enough demand for the CNHT stablecoin given that local people will continue trading CNY for USDT.

Apart from underpinning cryptocurrency trading, the number one cryptocurrency is also used by grey-market vendors from China to transfer money back home with the help of Russian OTC desks.

Tether also started issuing its cryptocurrency on multiple Blockchains, such as Tron and EOS. In such a way, as Bloomberg suggested, the stablecoin issuer might want to obfuscate its transactions.

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Regulatory roadblocks

Wan also added that the yuan-backed stablecoin could ruffle the feathers of Chinese regulators who are known for their hawkish attitude towards crypto. The People's Bank of China is about to issue its own cryptocurrency as a response to Facebook’s Libra.

As reported by U.Today, cryptocurrency exchange Bitfinex, which is affiliated with Tether, had their jurisdictional claim denied by the New York Supreme Court. From now on, the duo will have to provide all documents that are pertinent to the ongoing investigation that is conducted by the NYAG.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

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Bitcoin Price Likely to Decline to $7,800: Crypto Analyst

  • Yuri Molchan
    📰 News

    Bitcoin is to find support at $7,800 or recover to $8,300, an analyst writes, but either way ‘continuation of the ranging on either of the levels is going to occur’

Bitcoin Price Likely to Decline to $7,800: Crypto Analyst
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Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of U.Today. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

Over the last few days, Bitcoin has been trading below the $8,500 area. At the moment, it has recovered to $8,258 after the recent slip below the $8,100 level.

Analysts have been bullish on BTC in the long run, however, the nearest BTC price movements are expected to be bearish.

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The crypto analyst @CryptoMichNL believes that there are two paths ahead of Bitcoin at the moment. If it fails to recover to $8,300, he says on his Twitter page, then the market should be ready for the flagship coin to drop and find support at the $7,800 or $7,300 levels.

Whichever way it goes, ‘continuation of the ranging on either of the levels is going to occur’.

The analyst tweeted this forecast twice with an hour pause.

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About the author

Yuri is a journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future. ‘Hodls’ cryptocurrencies. Has written for several crypto media. Currently is a news writer at U.Today.

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