- The founder of Ecommerce giant Alibaba, Jack Ma is now supporting the cryptocurrencies.
- This is probably due to the recent breakthrough of Bitcoin and other cryptocurrencies.
- We have seen the Chinese billionaire Jack Ma talking about the use cases of blockchain technology in the past.
The founder of Alibaba, Jack Ma, states that cryptocurrencies are the future of finance. In his speech, he said that digital currencies are here to stay. And global regulation of digital coins is bad for the world’s economic stability. Regulators are stiffing the role of financial innovation, which is not good, according to the Chinese Billionaire.
Jack Ma asserts on embracing cryptocurrencies
Over the weekend, Jack Ma was at the Bund Financial Summit in Shanghai. Jack says that financial regulators in China and all over the world should embrace cryptocurrencies. Furthermore, he cites the approach deployed by traditional finance systems to pull down cryptocurrencies around the world.
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His comments came about the planned setup of a global series of financial regulations known as the Basel Accord. According to Jack Ma, the Basel accord proposes a financial regulation that does not serve the future of the world economy and China. He further likened the Basel accord to a club of older people looking to solve the modern financial system with outdated methods.
Given Jack Ma’s success as a businessman and influence across the world, he believes that the world needs to adopt a modern technology that can drive financial innovations. The Chinese businessman also believes that the country needs to adopt new technology to drive innovation. Chief among these tech innovations is the cryptocurrency and blockchain systems.
Cryptocurrencies and stablecoins
“Cryptocurrencies and stable coins would create good value and financial freedom for people. Therefore people should adopt the new financial innovation with open arms,” said Jack Ma.
Jack Ma aimed his comments at the global financial sector, and he expressed his displeasure toward the current regulations. A lot of cryptocurrencies have done well all around the world. But unfortunately, there is apathy towards digital currencies in many parts of the world.
China is one of the major countries that have enacted bans on cryptocurrencies and other digital coins. However, in 2019 BTC/USD got legal status, but it can only serve as virtual property.
Today Bitcoin is the only major cryptocurrency that is partly legal in China. But at the same time, the China Arbitration commission still bans the use of cryptocurrencies as legal tenders. They cannot serve as money, rather people see them as digital property.
China’s Adoption of blockchain technology
China has adopted blockchain technology, but it has a distaste for cryptocurrencies. Despite this, China has created its own central bank digital currency, which has brought about a lot of criticism. Although, it seems Jack Ma is winning the race in the advocation of a fully functional cryptocurrency due to his leverage and worldwide support.
Jack Ma said that the acceptance of digital currencies could drastically overhaul the way people in China and worldwide carry out a financial transaction with one another. He also stated that digital currencies could enable small and micro-businesses access loans that they would ordinarily not access.