While its launch date is still unknown, many companies in China, including local authorities, continue to roll out support for the long-planned digital yuan. JD.COM or Jingdong, China’s largest online retailer, is the latest company to support the Chinese digital currency. With more and more companies integrating digital yuan support, there’s a good chance that CBDC will play an important role in the economy of the country.
JD.COM will support the digital yuan
According to report, branch fintech the company, JD Digits, will develop a pilot program for the digital yuan this month. Customers will be able to buy any product and make payments in the national digital currency of the central bank. The company is likely to become the first e-commerce company to support CBDC.
In addition, JD.COM intends to broadcast on December 11 this year. 20 million yuan ($ 3,060,490) digital cash vouchers for Suzhou City residents. Meanwhile, Chinese city officials announced plans to award CBDC. Many retailers in the city have already installed NFC QR codes to handle the digital yuan.
Following Shenzhen, Suzhou will launch a digital RMB red envelope test on 12-12 (a shopping day like 11-11). Many merchants have installed NFC QR code. It is said that offline payment and “touch to pay” functions are available now. #CBDC #China
– 8BTCnews (@btcinchina) November 23, 2020
In October, popular Chinese smartphone maker Huawei revealed it would integrate a digital wallet that supports Chinese CBDC into its latest range of phones. This and many other developments signal that once the digital yuan is finally rolled out across China, it could be gaining ground.
In September, the vice president of the People’s Bank of China provided updated information on the digital currency of his central bank. In his speech, he said that so far the system has allowed transfers worth around 1.1 billion yuan in 3.13 million transactions. This is equivalent to transactions of approximately $ 162 million. At that time, 113,000 people and 8,800 companies located in areas such as Shenzhen used the network.
In late August, Sun Guofeng, head of the PBoC’s monetary policy department, said the bank did not have a precise schedule for bringing digital currency to market. However, according to his statement, the PBoC is likely to launch the project ahead of the 2022 Winter Olympics, as it plans to use the yuan in a digital version at this international sporting event.