Several state-run commercial banks within China are reportedly conducting a large-scale web terminal testing of a digital wallet designed for China’s national digital currency, named, the digital yuan.
In line with a recent report by Reuters earlier on 5th Aug., the banks are testing the wallet app to transfer money and make payments in China’s CBDC. As reported, the event was initially revealed to China’s state-backed newspaper the 21st Century Business Herald by several employees at involved state banks in cities including Shenzhen.
The new development represents another major milestone in China’s progress in adopting the digital yuan and comes in line with a key goal set by China’s financial institution, the People’s Bank of China. Earlier on 3rd Aug., the PBoC reportedly said that China should actively promote the event of the digital yuan as a part of its top priorities for the 2nd half of this year.
While China has emerged together as one of the foremost strict countries in terms of cryptocurrency regulation, it’s leading the world in reference to the event of a national digital currency. China’s financial institution has been steadily progressing with its CBDC, which it refers to as digital currency electronic payment. Also earlier in the month of April, China successfully piloted the project in four cities including Shenzhen, Chengdu, Suzhou and Xiongan.
Moreover, as per an earlier report published on 4th Aug., the PBoC is purportedly getting to use the digital yuan to focus on the dominance of tech giants like Alibaba and Tencent within the digital payments sector. In late July, Reuters reported that the financial institution formally recommended that the State Council’s antitrust committee launch a search into the alternatives of the existing digital payments suppliers like Alipay and WeChat Pay.