China’s digital currency is used in $10 billion transactions.

November 7, 2021 - Around 2 mins mins to read

According to a People’s Bank of China official, China’s central bank digital currency (CBDC), the digital yuan, has been used in transactions worth nearly $10 billion (PBOC). Furthermore, approximately 140 million people have downloaded the government’s digital wallet.

china extends digital yuan test to beijing as — China's digital currency is used in $10 billion transactions. 2

Mu Changchun, the director-general of China‘s central bank’s digital currency institute, the People’s Bank of China (PBOC), discussed the digital yuan’s adoption progress Wednesday at Hong Kong’s Fintech Week conference.

He revealed that as of October, 140 million people had downloaded the eCNY wallet for China’s central bank digital currency (CBDC). Furthermore, the digital yuan has been used in transactions worth approximately 62 billion yuan ($9.7 billion), according to Reuters.

While China has been actively testing its digital yuan, a PBOC official stated that the digital currency has no official launch date.

So far, 1.55 million merchants, including utilities, catering services, transportation, retail, and government services, have been able to accept payments via eCNY wallets, according to Mu.

A growing number of central banks around the world are considering launching their own CBDCs. According to the Atlantic Council’s CBDC tracker, 87 countries are currently investigating the use of CBDC. Seven of them have already been launched, 17 are being piloted, 15 are in development, and 39 are being researched.

In September, Benoît Curé, the head of the Bank of International Settlements (BIS) Innovation Hub, urged central banks to act on central bank digital currencies now in order to compete with private-sector initiatives such as cryptocurrencies.

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