China will expand testing of the national cryptocurrency

The director of the technical department of a bank in Suzhou, China, said that the current application of digital currencyChina in Shenzhen and Suzhou focuses on small-scale scenarios such as retail, public transport card top-up, catering.

After obtaining permission from the central bankuse cases for the digital yuan will be expanded to testing in healthcare, education, e-commerce, tourism, culture, which will improve the efficiency of payments and the quality of financial services.

This move poses new challenges for stability, anti-money laundering monitoring and transaction processing efficiency:

"We conduct various stress tests within the company, for example, when the processing capacity of a transaction suddenly increases, it will come outIn this regard, the technical department is developingnew solutions to ensure the operational stability and reliability of the system in the face of spikes in transaction processing."

How can China's digital yuan contribute to China's economic development?

On the one hand, it can enhance the function of a currency. The original currency is the general equivalent, but cannot contain information about the general equivalent. Digital currency, including blockchain, has functions such as accounting, which can record the time, place and destination of money circulation, which is essential for tracking money for specific purposes and can effectively prevent money laundering.

On the other hand, CBDC will have an impact on the exchangedigital currencies in the future. The digital currency will inevitably change the hegemonic status of the US dollar, and all countries can better protect the interests of their own currencies using digital assets.

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