China used the city of Shenzhen to test its state digital currency, the digital Yuan.

Far ahead of the European countries and the USA, China envisions control of the world economy, and the clearest step for that is to transform paper money into internet money.

Cryptocurrency enthusiasts know that Central Bank digital currency is not, and will not be, a cryptocurrency. Never.

I will not generalize cryptography to compare with the digital currencies of Central Banks, as it would be obsolete to compare the Bitcoin protocol with the others, given its dominance, fundamentals and sovereignty.

Thus, Bitnoticias needs to reinforce three basic fundamentals of Bitcoin in order to enter into a problem of the test with the digital currency made by the Chinese.

1- Bitcoin is decentralized. It does not have a body or institution that dominates it. Its foundations are in the White Paper written by Satoshi Nakamoto, and its development is in the hands of the community that supports it.

2- Bitcoin would not need third parties for its movement or transaction, as its protocol is based on P2P technology. Currently the exchanges that have embraced the cause serve as intermediaries, but it is only an option for traders and investors, derived from the valued asset that it has become.

And finally, we got to the point of what puzzled us so that we could reflect and write this article.

3- Bitcoin has a restricted supply, with a volume limited to 21 million units, and controlled decreasing inflation.

Facing a draw for those who signed up to serve as guinea pigs for the Chinese government, the city of Shenzhen distributed the digital Yuan to its citizens free of charge.

Free of charge, as the lucky ones did not have to return the same amount of Yuan on paper for it to be destroyed, and so the Chinese Government would not be printing even more money.

In fact, we have strained the search for information if the Chinese government has made the same amount of paper Yuans useless in compensation for the digital Yuans produced.

We did not find!

Just remembering, many exchanges and stablecoin protocols carry out this process so as not to overinflate the crypto market.

If it was already easy for the state to press play on the state printer and produce money, imagine how easy it will be for governments to “copy-paste” the computer that will produce government digital currencies?

Apparently, what was supposed to be an innovation for state currencies seems to have the same fundamentals, except for certain details.

The Chinese government distributed through a process called airdrop the volume of 10 million yuan.

As we have recently shown, Governments have never printed so much FIAT money, just as state FIAT money has never been so devalued.

In view of the imminent transformation of FIAT money into digital money, where countries rush to create their own currencies, the question of the economic balance between physical FIAT currency and digital currency.

If Governments do not disregard this care, the depreciation of fiat money will be invaluable.

We will continue to seek information on how the monetary balance between inclusion of digital state currencies and exclusion of physical state currencies has been made or will be carried out.

But the warning is given.