China Expands Access To Its Digital Currency, e-CNY
China’s Central Bank, the People’s Bank of China (PBoC) has announced plans to extend its testing site for its digital currency, the e-CNY.
Speaking at a press conference on Wednesday, PBoC’s head of Monetary Policy, Lan Zou disclosed that the government was expanding the testing sites from 11 to 23.
These test sites are spread across 15 out of the 31 provinces in the country.
This, it said followed the overwhelming success of the e-CNY in the 11 existing sites, especially during the Beijing Olympics.
“The e-CNY has demonstrated to being an invaluable tool in improving quality of life, stimulating consumption, growing internal demand and ensuring steady economic development through its functions such as smart contract utility,” Lan said.
The Apex Bank said that the Chinese residents have spent about $12.35 billion in transactions made through the e-CNY.
According to Lan, China had made a total volume topping 83 billion yuan (about US$12.3 billion), by the end of May 2022.
China launched its CBDC, known as the digital yuan or e-CNY, in October 2020.
China’s CBN had then promised that it will continue to expand international cooperation in digital currency.
This, the government did as part of efforts to crack down on bitcoin and other cryptocurrencies.
The e-CNY seeks, instead to provide a government-sanctioned and controlled digital alternative.
Six months ago, China released the new digital yuan app for iOS and Android for users in 23 cities across China.
The e-CNY, also known as the digital yuan is a digitized version of China’s legal currency, the renminbi (RMB).
Issued by China’s central bank, the People’s Bank of China (PBOC), it is designed mainly to be used for high-frequency, small-scale retail purchases and transactions.