Trump orders blocking of Chinese payment programs; A positive step for BitcoinJanuary 7, 2021
Donald Trump issued an executive order banning transactions using 8 Chinese payment applications. According to many, this event can attract more attention to bitcoin and eventually increase the price of bitcoin more than before.
What are the blocked applications?
According to Bitcoin.com, the executive order will ban the applications in the United States for another 45 days. WeChat, Alipay and QQ are among the applications that will be included in the ban.
Under the order, US citizens will not be able to make transactions using the eight applications. WPS Office, Camscanner, Shareit, Tencent Wallet and Vmate are other applications that American users cannot use.
What is Trump’s reason for banning?
The Trump administration has said the bans are for security reasons and follow Trump’s order to ban Tiktok. Part of this executive order states:
The speed and expansion of some mobile and PC applications and other software developed by individuals in the People’s Republic of China continue to threaten national security, foreign policy, and the US economy.
Addressing 4,800 followers on Twitter, Michael Gogel said the executive order was in response to digital yuan and decentralized currencies such as bitcoin. He tweets:
This Fully associated with digital yuan and digital currencies like bitcoin.
He wrote in another tweet:
It is worth noting that this action took place on the same day that the New York Stock Exchange decided to eliminate China Telecom, China Mobile and China Unicom.
In September 2020, Sylvain Saurel wrote in a blog post, referring to Trump’s decision:
Financial transactions between the United States and China or any other Asian country must be done through another channel. We are talking about hundreds of billions of dollars in annual transactions.
With the implementation of the sanctions imposed by Trump, there is a possibility that Asians living in the United States will have a problem.
Enforcement of this order may be suspended, such as a court order suspending the implementation of the ticketing ban. Reuters also reported that the Commerce Department issued a statement condemning the Trump administration’s move, calling it “unhealthy competition.”
Announcing his support for Trump’s decision, US Secretary of Commerce Wilbur Ross said:
I support the President’s determination to protect US privacy and security in the face of Chinese Communist Party sanctions.
Ross also announced that he would start implementing the executive order in the next 45 years.