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Will digital yuan rollout slow down due to corruption scandal?

Will digital yuan rollout slow down due to corruption scandal?

HappyCoinNewsHappyCoinNews2024/12/03 06:00
By:HappyCoinNews

recent Yao Qian's dismissal , who led the development of China's digital currency at the People's Bank of China, has sparked discussions about a possible slowdown in the rollout of the digital yuan.

The groundwork for China's digital yuan began in 2014, and since 2019, the central bank's digital currency ( CBDC ), also known as e-CNY, has been tested in some provinces and cities.

The pilot tests have spread to 26 regions in 17 provinces, but China's central bank has not set a timeline for an official launch.

Today, we have some bottlenecks in the adoption of the digital yuan, said Charles Chang, director of the Center for Financial Technology Research at Fudan University in Shanghai.

Existing online payment platforms such as Alipay and WeChat Pay have “performed so well that users are reluctant to switch because they already have such convenient tools,” he said.

Similar convenient tools are available in almost all countries where central bank digital currencies are being developed.

At the same time, Chang stressed that Beijing’s desire for its own digital currency “will not stop or run aground,” since it is in line with the global development trend. CBDC .

A survey published by the Bank for International Settlements in June found that 94 percent of the 86 central banks surveyed were working to CBDC , focusing on retail and wholesale applications.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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