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Bitmain Co-Founder Wants to Establish a Blockchain Central Bank
Editorial Team

Bitcoin mining giant Bitmain announced this Wednesday its intention to set up “private Central Banks” then will be powered by Blockchain.

Company’s Co-founder, Jihan Wu, on a speech at DC Blockchain Summit, hosted by the Chamber of Digital Commerce and Georgetown University’s Centre for Financial Markets and Policy, revealed that Bitmain would like to invest in 20 to 30 startups that would bridge the gap between Central banks for Fiat and Cryptocurrency world.

He expresses the opinion that Private Central Bank which is quite different from Federal Reserve, are “better at creating more convenient user experiences for consumers.”

He also announced their intention to establish Private Centrals Banks that would be responsible for issuing private currency as service, which will be done legally with Blockchain technology’s assistance.

“In WUs words “We at Bitmain are very interested in private central bank startups that are going to use Blockchain technology to issue private currencies and set it as a service, in a legal way. We would like to invest in 20 to 30 startups whose efforts are focused on this unique emerging economy”.

He also stated by pointing out the Fed’s very appealing revenue that “we all know that a central bank is a very profitable business.”

In the speech, he also revealed the ambition to expand its tentacles in countries like Canada, in the area of applying artificial intelligence and mining.

He finally emphasized his belief that the cryptocurrency market would consolidate around a small number of coins due to the rising demand for digital currencies.

“The fact is that Bitcoin is declining and we can see that lots of other cryptocurrencies like Ethereum and Dash grow very fast, and you just cannot explain if you think the theory is right that the market will consolidate,” he said.

WU believes in the non-existence of a “perfect” cryptocurrency, which is the major reason for the demand of various tokens within the crypto market.