Following the People’s Bank of China announcement bitcoin rose by 2%
During the Boao Forum for Asia, the People’s Bank of China (PBOC) made an unforeseen statement of referring to bitcoin and stablecoins as investment alternatives. As stated by CNBC, PBOC comments were regarded as «progressive» by industry insiders considering China’s previous stance on bitcoin.
Whilst bitcoin and stablecoin are recognized as crypto assets, the PBOC deputy governor made it clear that these investment assets cannot be used as currency.
In addition, CNBC notes that following the announcement made by PBOC, bitcoin grew by 2% reaching USD 57,134.04.
In 2017 Chinese authorities banned initial coin offerings (ICO) as well as shut down local cryptocurrency exchanges.