September 29, 2020

Chinese authorities to oblige local companies to accept digital yuan

Fan Yifei, deputy head of the Central Bank of China, told Financial News that the companies and the country's private individuals will be required to accept the digital yuan (CBDC) upon launch.

In China, CBDC is classified as part of the money supply, which includes the mandatory adoption of the virtual yuan as a means of payment, according to a Central Bank official.

In April, the Chinese authorities began testingits CBDC in four major cities. Last month, the list of cities that support testing was expanded to include Beijing, Hong Kong, Macau and several provinces.

Earlier in July this year, the local food delivery market leader MeituanDianping, passenger carrier DidiChuxing and video hosting Bili Bili announced that they were participating in the testing of the Chinese CBDC.