Is China Replacing Bitcoin with Digital Yuan? U.S. Listed Car Maker NIO Removes Bitcoin Payments Ads

By Prashant Jha
December 31, 2020 Updated December 31, 2020
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It’s Bitcoin Vs Digital Yuan, are Chinese authorities forcing companies to accept digital Yuan replacing Bitcoin? In a very unusual case today, NIO a U.S. listed electric car-maker company from China advertising to offer bitcoin payment services at its dealership suddenly removed ads altogether. First the Bitcoin ads were replaced with digital currency and then removed suspiciously.

The top cryptocurrency managed to overcome its 2017 all-time-high and hasn’t looked back since then as it continues to record new ATH every other day after breaking the $20,000 barrier. The top cryptocurrency recorded another new high today after it registered $29,300 on a couple of exchnages.

NIO’s plan to offer Bitcoin payment services looks quite ambitious but many believe they would have to take back their Bitcoin payment services owing to strict rules in China against Bitcoin. Wu Blockchain, a popular Twitter handle that brings exclusive news from the Chinese market reported about NIO’s Bitcoin plans and also warned about the possibility of them retracing the ad.

NIO Changes Bitcoin to Digital Currency But Bitcoin Symbol Remains Intact

The prediction about the car-maker changing its advertisement about bitcoin came true sooner than later as the company changed the Bitcoin to digital currencies but the Bitcoin symbol was still intact.

The decision was anticipated as the Chinese government has a very strict regulatory policy against the use of any foreign currency apart from the national fiat. Back in 2018 the People’s Bank of China governor had cleared that any digital currency cannot be used as a payment tool. The electric car maker soon deleted the whole advertisement from Weibo owing to the backlash.

Bitcoin in 2020 has turned out to be the choice of treasury asset for many publicly traded companies, used as a hedging asset by institutional investors and pro-athletes have started to accept their paychecks in Bitcoin.

The Chinese government is currently working towards the launch of their own sovereign national digital currency which it wants to use as an international currency of trade, thus any other form of currency be it fiat or bitcoin is strictly prohibited for use.

An engineering graduate, Prashant focuses on UK and Indian markets. As a crypto-journalist, his interests lie in blockchain technology adoption across emerging economies.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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