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Central Bank Lu Lei: BTC is getting closer to assets, the distance from widely circulated currency is getting farther
Deputy Governor of the Central Bank, Lu Lei: The closer BTC is to assets, the farther away it is from widely circulated currency. In the preface to 'Monetary Theory' written by Lu Lei, Deputy Governor of the People's Bank of China, he stated that the urgent problem facing major developed economies is 'rescuing the central bank from the hands of central bankers.' Although this train of thought is not about the current central bank digital currency (CBDC), as I believe that CBDC does not change the institutional meaning of currency increment, is there a form of digital money that can both overcome the impact of various digital assets, achieve the stable coin effect, and maintain the existence of sovereign currency (addressing the problem of the euro's currency unification but fiscal decentralization)? Currently, digital assets are following the old path of the gold standard, and the stable coin concept is nothing more than a practical proposal for the 'soft version' of the optimal currency area theory. In the field of currency economics, there are two highly respected individuals - the recently deceased Robert Mundell and the mysterious Satoshi Nakamoto, who watched the BTC (Bitcoin) he created single-handedly evolve into an extremely valuable digital asset. Currently, the energy consumed annually for mining the last 2 million coins is enough for over a hundred million people to use for over a year. According to the marginal cost pricing method, the closer BTC is to being an asset, the further away it is from being widely circulated as currency.