What is the difference between Bitcoin and Yuan Digital?

[chicnthin]

This is the first time I'm hearing about this Digital Yuan. It caught my attention so I made a quick research. The difference would be, digital yuan won't be using a blockchain unlike bitcoin. The purpose of it is to replace the circulation of cash.

 

[Akinwale701]

The Chinese currency Yuan Digital is almost similar to Bitcoin, because it combines several elements of the Bitcoin blockchain, and all transactions are recorded in a ledger, so that the Chinese government will easily monitor when and where people use Digital Yuan. Because this currency is intended as a substitute for fiat money (Yuan) and will be easy to use after installing the Rnminbi application on a smartphone. The advantage of this application is that users don't need to have a bank account (same as Bitcoin). Since the beginning of January 2021, the Chinese government has tested the Remimbi application for a year, if it is successful then China will become the strongest economy in the world. China has also distributed via a Digital Yuan lottery worth 10 million yuan (approximately USD 1.5 million). Even though Bitcoin has a lot of similarities with Yuan Digital money, both of them are intangible money, of course there are many differences, what are the differences?

Everyone knows what Bitcoin to be a millionth multiple of satoshi, although the value of some other Crypto currencies are not really given in terms of satoshi like bitcoin, emphasis mine. also, for Yuan Digital, I'll say I've never heard there's a coin. with that name. I only know about USDT

 

[Adeyoola7]

The digital yuan is designed to replace cash in circulation, such as coins and bank notes, not money deposited long-term in bank accounts. ... Unlike cryptocurrencies like bitcoin, the digital yuan will not use blockchain, distributed ledger technology which allows transactions to be validated without the need for banks.

 

[Niftyyem]

The digital yuan is still strictly meant for the Chinese and they can hardly carry out global transactions using that version of yuan unlike bitcoin that still remains the cross border transaction mode of payments.

 

[Ralphjoe]

This is great, I never knew much about this chinese digital yan of a thing and how similar it is with Bitcoin. Well the only difference that I can think about them is that digital yuan doesn't have that anonymity as Bitcoin. Bitcoin will always have an edge over the chinese digital yuan due to anonymity in it's transaction.

 

[esan]

The main difference between e-money (cryptocurrency) and virtual currencies is that e-money does not change the value of the fiat currency (euro, dollar, etc), but virtual currency is not equivalent to any fiat currency. In other words, all digital currency is electronic money, but e-money is not necessarily digital currency.

 

[Blue house]

Central bank-supported advanced monetary forms, for example, the likely computerized euro and computerized yuan, may turn into a reality in the coming years. Dissimilar to digital forms of money, for example, Bitcoin and Ethereum, these monetary standards guarantee less instability and more noteworthy security.

 

[GoldenLady]

This is how governments should accept technological advancement and use it to make life easier for their citizens.

But if it is to replace fiat currency, this means internet access has to be made available in all parts of the country. How will the government achieve this?

 

[Chris]

Well from my own point of view I think The digital yuan is designed to replace cash in circulation, such as coins and bank notes, not money deposited long-term in bank accounts. ... Unlike cryptocurrencies like bitcoin, the digital yuan will not use blockchain, distributed ledger technology which allows transactions to be validated without the need for banks.

 

[Adetayo100]

Cryptocurrencies are decentralized, meaning their economics and supply are not controlled by a single entity. In contrast, the levers for the digital yuan will be firmly controlled by Chinese government. The second difference is anonymity.

 

[Zamaney]

While the digital yuan has the backing of the PBOC, there are several ways in which it cannot complete, technically, with bitcoin. Chiefly, it is not decentralized (and therefore not much different than the paper version of yuan) and will not leverage a public, immutable blockchain ledger as Blockchain does.

 

[mcjerry]

China that once banned the use of bitcoin and other coin have now created there own digital money. China is a strict country. I know that the will want to control and regulate there digital coin. With the creation of digital yuan. Other countries will copy them and start there own

 

[Nomad]

Bitcoin is basically community controlled crypto currency, where as digital yuan is Chinese digital currency that is backed by yuan (Chinese fiat money) via Chinese central bank

 

[Victor001]

Bitcoin is Bitcoin and should be a coin on its own,the mystery surrounding Bitcoin is what make it unique,the Yuan digital coin is just a coin of its region.

 

[Kingsley]

To me i just see a kind of power tassel and nothing much the Chinese government is struggling and Puting up its best to rule the world economy, they are trying to setup their own coin other than bitcoin so that they can regulate and control the systems. That is what i see.

 

[Ralphjoe]

To me i just see a kind of power tassel and nothing much the Chinese government is struggling and Puting up its best to rule the world economy, they are trying to setup their own coin other than bitcoin so that they can regulate and control the systems. That is what i see.

I agree with you that it's a power tussle between the Chinese government and the owners of cryptocurrency like Bitcoin but I really see this as child's play because the government shouldn't feel threatened by the popularity of Bitcoin but instead they should embrace it and probably regulate it so they everyone can easily make use of the cryptocurrency.

 

[Niftyyem]

Digital Yuan is not decentralized the way bitcoin is and the government who created it most likely has the ultimate control over it unlike bitcoin which is not in the hands of anyone

 

[tyrim88]

The move by china is commendable and they have really proven to be at the forefront of modern technology.But the digital yuan will be totally controlled by the government making it different from the bitcoin cryptocurency which is decentralised.

 

[Ub40]

Wow! You really did research to come up with this write up. I commend you because before now I didn't know that China has a currency known as Yuan digital. There are really so much to learn in this forum while one earns. China has always wanted to be the no. 1 in the world. This digital money may have contributed to their decision some days back, which affected btc value negatively. It is my opinion.

 

[joy101]

This is very good to hear about the development in Chinese that the digital Yuan is known as the central bank and also to make transaction faster.