Central Banks Devaluate Currencies Thus Increase Bitcoin’s Demand

Central banks are the ones responsible for devaluating their currencies but this is one of the key reasons why the Bitcoin demand is continuously growing as we can read from the reports in the coming altcoin news today.

The demand for bitcoin has been tangible over the past few months despite the correction of more than 30 percent since the digital assets are still up by more than 160 percent this year only. The reports show that this growth could be a consequence of the central banks devaluating their own currencies. The demand in favor of Bitcoin is now most prevalent in Asia and the trading markets during the Asian time zone dictate the mood for the rest of the world on countless occasions. China is the one responsible for the lading players in the BTC trading arena despite the efforts coming from Bejing to crush it and control the flow of finances from their own population.

According to the reports, the volume of purchase of bitcoin and other cryptocurrencies in China has increased by more than 50 percent during the current quarter. The reports show that the buying demand has increased on the day when the People’s Bank of China confirmed that it will adopt its own digital currency. Some of the other catalysts that have driven the Chinese people towards bitcoin also include the devaluation of the Yuan. The government is clearly very concerned about the capital outflow and even introduced measures to stem it by capping the amount that can be taken out of the country. The PBoc sees cryptocurrencies as a threat to their domination over finances and the people are just learning the fact. The chief Asia economist for one major international bank stated:

‘’Only a central bank is allowed to issue base money. They are defending their own monopoly.’’

Japan has a completely different outlook on cryptocurrencies as well as their central banks. The senior official at the Bank of Japan told the Nikkei Asian review as we can read in the latest cryptocurrency news:

‘’Because of their fear of capital outflows, the Chinese see every financial asset as the enemy. But we don’t worry about outflows. We are in love with the technology behind it and we are in touch with the technology community. We promote bitcoin but only with controls.’’