For lawmakers, the digital yuan provides zero privacy and is fully traceable. They assure that it is unprecedented surveillance of all citizens.

Various senators from the United States of America suggested that athletes from that country should avoid using the digital yuan during the Beijing 2022 Winter Olympic Games. On the matter, they asked the country’s Olympic and Paralympic Committee (USOPC) to prohibit its use by athletes.

The concern arrived through an official statement from legislators to the president of the USOPC, Susanne Lyons. In the letter officially signed by Senators Marsha Blackburn, Roger Wicker, and Cynthia Lummis, they openly show their concern about the intention of the Communist government of China to release its Electronic Payment method with Digital Currency, officially called the digital yuan.

The digital yuan is a central bank digital currency (CBDC) that has been gradually gaining ground in China. However, US lawmakers stated that the central bank could track this currency.

In this way, the Chinese government can acquire precise details of every transaction made with these assets and when and where these transactions happened. According to the senators, it would represent unprecedented surveillance of Chinese and foreign citizens for which athletes should receive warning advice.

US legislators like Cynthia Lummis, a renowned bitcoin expert from the state of Wyoming, warned about the lack of privacy in that digital currency. This lack of privacy is under evaluation in China while progressing with the wallet projects that will support this digital currency.

The officials can only ensure anonymity up to a one-time payment limit of 2,000 yuan so far; once it reaches the limit, a verification with an identity document and bank account will be a requirement.

The US lawmakers’ statement urges the USOPC to contribute with the State Department, the Treasury Department, and the Commerce Department to protect the privacy of American athletes (sic) from the Communist government of China.

The Digital Yuan has Turned Into a Controversial Project

These claims are not the first time North American officials have voiced their distrust of the Chinese government’s digital currency project. In May 2021, a former Central Intelligence Agency (CIA) analyst warned that this CBDC could serve to impose economic retaliations.

The national security expert has warned about this cryptocurrency within the framework of the Consensus event. During his speech, he also asked some questions based on the conflict that the Asian country had with the textile companies H&M and Nike.

On the other hand, the issue of privacy has been under discussion before. The president of the central bank of China himself stated that it is impossible to bring complete privacy when using this CBDC.

According to the officials, this lack of privacy has to do with the laws to prevent money laundering and the financing of terrorism, which require that users identify themselves before starting to carry out transactions with these digital methods of payment.

By: Jenson Nuñez

LEAVE A REPLY

Please enter your comment!
Please enter your name here