Chinese Use 2 Billion “Digital Yuan” During 4-City Trial
Last Updated on 9 November 2020 by CryptoTips.eu
Already in the 1800s, when asked why he wouldn’t try and conquer the Asian landmass for Europe, French ruler Napoleon Bonaparte knew that powers greater than the French army were present over there. His famous quote goes:
China is a sleeping giant. Let her sleep, for when she wakes she will move the world.
Former People’s Bank of China Governor Says Digital Yuan Will Combat US Dollarization https://t.co/YGrp734TJq via @Bitnewsbot
— Patrick Rooney (@patrickrooney) November 8, 2020
He was right then, and would be even more right now.
People’s Bank of China
From time to time we get an idea of the massive scale of the Chinese economy. Whereas now only a few 100 million people are able to compete in spending power with the Western economies, imagine what it will be like in 20 years or so when China is fully operational.
People’s Bank of China (PBOC) governor Yi Gang says that the pilot test for the digital yuan has picked up pace since launching in April of this year, with transaction volumes doubling over the past month. https://t.co/YGRa65npwb
— Michael (@val5linx) November 6, 2020
One of the areas where they have clearly taken the world by surprise is in their roll out of the so-called Digital Yuan. Many economists openly admit that China’s digital yuan is currently clearly the most advanced central bank digital currency (CBDC) and the authorities in Beijing are not stopping or waiting for others to catch up. Both in the US and Europe the voices that wish to roll out a digital currency of their own are growing, but so far it looks like a multi-year project.
Legal framework
Not so for the Chinese, who have managed to do a trial run in 4 cities with their own crypto. Some 4 million separate transactions accounting for a total of 2 Billion Digital Yuan were used, and the People’s Bank of China was quite happy with the result.
The rally for central bank-issued digital currencies is on. China is leading the way and is already testing their new digital Yuan. But they are not alone. Also, Switzerland is speeding up efforts and expecting the first trials by the end of next year. https://t.co/0jJ4FvjtOL
— Joe King (@JoeKing_CCFOX) November 6, 2020
Yi Gang, the governor of the People’s Bank of China (PBOC), declared during a conference recently that he sees:
that we would have cash and digital currency coexisting in the future.
Although he admitted the need for a “fairly complicated and fairly complete legal framework,” it is quite clear that Facebook’s Libra and any stablecoins backed by the US Federal Reserve or the European Central Bank have a lot of catching up to do.
