With a framework designed for completion at the end of this year, China’s Commerce Ministry announced that it will expand the trials of the Digital Yuan across its regions.
China’s trials of its central bank digital currency will include some of the wealthiest regions in the country https://t.co/UIuyNzBrDX— Cointelegraph (@Cointelegraph) August 14, 2020
In an announcement shared to Decrypt, the cities involved in the pilot testing of the nations’ Central Bank Digital Currency or CBDC, are those in the northern Chinese region of Beijing, Tianjin, and Hebei; eastern region of Yangtze River Delta, some cities in Midwestern China, and the “Greater Bay Area” around the Pearl River Delta though it has been explained to Cointelegraph that they are yet to set a definite time to start the program.
The Ministry of Commerce considered the wealthiest cities in this trial but released unspecified standards to poorer central and western regions, should they want to join in the testing. CBDC's official name is Digital Currency Electronic Payment (DCEP) and many anticipate it to be the first operational digital currency in the country. The People’s Bank of China (PBoC) will lead this initiative and will formulate the safeguards of this project.
April this year, PBoC tested DCEP in one of the districts in Suzhou City, where authorities asked employees to install digital wallets to receive half of their transport subsidies in the form of the digital yuan. In the commentary published by Decrypt, the bank, in a video conference, illustrated the timeline of this plan; sharing that in the first half of 2020, the legal digital currency closed trial has been launched successfully, and by the second half, the team plans to actively yet prudently promote it.
This month, a local news outlet in China reported about state-run commercial banks planning to conduct large-scale digital wallet testing for the digital yuan indicating that the accomplishment of this project may be sooner than expected.