Widening the Use of the CNH Presents Challenges; Bitcoin Remains Above $20K
While most stablecoins are pegged to the US dollar, there is an alternative that is pegged to China’s currency, the yuan. The token is called CNH, and it is designed for offshore use. While this may seem like a good alternative for those who want to avoid dollar-based stablecoins, there are some challenges that need to be addressed.
First, the Chinese government strictly controls the yuan and its use outside of China. This means that it may be difficult to convert CNH into other currencies. Additionally, because CNH is not as widely used as the US dollar, it may be more difficult to find places where it can be used. Finally, Bitcoin remains the king of cryptocurrencies, with a market value above $20K.
While the overall market remains unsettled, Bitcoin has managed to cling to the $20,000 mark. This is likely due in part to the weekend pause in bad news that has been plaguing all digital assets. However, it is still early days, and it remains to be seen how long bitcoin can hold onto this level.
One thing that is working in bitcoin’s favor is the increasing institutional interest and investment. With more big names getting behind bitcoin, it is becoming more legitimized as a store of value and investment option. This could help to provide some stability even in times of market turmoil.
Of course, there are always risks and uncertainties associated with investing in any asset class. But for those who are willing to take on some risk, Bitcoin presents an interesting opportunity right now.
Ether, the second-largest crypto by market cap, has been one of the hardest hit, falling over 10% in the past 24 hours. It is currently trading just above the $1,100 mark, which it reclaimed late Sunday.
Other major altcoins are faring only slightly better. FTT is up over 9% at one point but has since pulled back and is now hovering around the breakeven point. XLM and XRP are both down slightly, while DOGE rose earlier in the day after Tesla founder Elon Musk tweeted that he would “keep supporting Dogecoin” but has since fallen back into the red.
Barry Pene is a stern blockchain research/copywriter. Barry has been trading cryptos since 2017 and has been invested in issues that would put the blockchain industry on the right pedestal. Barry's research expertise cuts across blockchain as a disruptive technology, DeFis, NFTs, Web3, and reduction of energy consumption levels of cryptocurrency mining.
