Cryptocurrencies could get a boost between China and the US as US President Donald Trump signs an executive order banning financial transactions with eight China-based payment applications. Following the signing of Trump’s new executive order, popular payment programs, including Alipay, Wechat Pay and Tencent’s QQ, will be banned in the United States within 45 days.
According to the latest executive order signed by US President Donald Trump, Americans are banned from dealing with eight different Chinese payment applications. Transactions processed with these programs will be banned within 45 days, according to Trump’s latest edict. The applications that fall under Trump’s ban include WPS Office, QQ Wallet, Alipay, Camscanner, Shareit, Tencent QQ, Wechat Pay and Vmate.
Trump’s government claims the ban was imposed for national security reasons and follows the executive order signed by Trump to ban the China – based app Tiktok. In August, Trump signed the specific order against any transactions between Tiktok’s parent company, Bytedance. The latest order against eight different Chinese payment programs says the ban was also imposed for national security reasons.
“The pace and widespread distribution in the United States of certain linked mobile and desktop applications and other software developed or controlled by persons in the People’s Republic of China … continue to threaten the national security, foreign policy and economy of the United States. , ”The Trump administration insists.
The analyst Michael Gogel told its 4,800 Twitter followers that the executive order on the digital yuan and decentralized cryptocurrencies such as bitcoin has been invoked. “It has everything to do with the digital yuan and digital currencies like bitcoin, that US President Donald Trump on Tuesday signed an executive order banning transactions with eight Chinese software programs, including Alipay and Wechat Pay,” Gogel said. said. tweeted.
The analyst added:
Interesting to note that the New York Stock Exchange decided on the same day to remove 180 and to deny the delisting action with respect to China Telecom, China Mobile and China Unicom (Hong Kong).
Back in September 2020, the bitcoin proponent, Sylvain Saurel, also wrote a blog post about Trump banning these payment programs and how it will benefit bitcoin. “Financial transactions between the United States and China, or other countries in Asia, must take place through another channel,” Saurel stressed in his blog post. “We’re talking about a few hundred billion dollars being exchanged every year.”
The author further added:
Bitcoin therefore fully meets the need that will emerge from millions of people from the Chinese diaspora in the United States in the event of a complete ban on Wechat. Bitcoin also has the advantage of being completely politically neutral. At a time when a new cold war is beginning between China and the United States, such neutrality is a major asset.
If the Trump administration gets away with banning transactions using these eight applications, Asian Americans and their families living in Asia are likely to be negatively affected. However, the ban could be halted as a judge recently issued a preliminary injunction against Trump’s recent Tiktok ban because it was met with adversity. Reuters also reported that the Chinese Ministry of Commerce had also issued a statement banning payment apps, saying the entity was fighting “fair competition”.
In addition, U.S. Secretary of Commerce Wilbur Ross supported Trump’s decision, saying he supported the president’s “commitment to protecting the privacy and security of Americans from Chinese Communist Party threats.”
In addition, Ross insisted that the Department of Commerce begin implementing the EO regulations within 45 days, including identifying prohibited transactions.
Do you think Donald Trump banning eight China-based payment programs would be a boon for cryptocurrencies like bitcoin? Let us know what you think of this topic in the comments below.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for information only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is directly or indirectly responsible for any damage or loss caused or claimed to have been caused by or in connection with the use or reliance on any content, goods or services mentioned in this article.