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- Unveiled in earlier 2019 & launched in 2020 the digital Yuan shows no sign of weakening as new numbers were revealed at Hong Kong fintech week
- The CDBC hit 62 Billion Yuan in transactions with 140 Million accounts
- While the personal daily transactions have been capped for the least privileged accounts, people can now use an account with no caps by submitting identity proofs to the bank.
The Bank of China in the earlier part of 2019 unveiled a digital yuan, the digital version of its currency and began trials in the early months of 2020. The currency is deployed on a blockchain & is currently gaining traction However unlike traditional cryptocurrencies, The Central Banks Digital Currency (CBDC) comes with what they call “controlled anonymity”
As the updated numbers were projected at an event of Hong Kong’s fintech week, it was reported that 140 Million individual accounts had been registered while more than 10 Million corporate digital accounts were created.
According to the head of the digital currencies institute at the Bank of China, Mu ChangChun speaking at the conference pointed out that more than 60 billion yuan ($9.7Billion) worth of transactions was processed through the e-currency. The CBDC is annexed to replace traditional Yuan or renminbi (CNY) to E-CNY.
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While the launch date of E-CNY seems to be distant in time, however, the bank of china has successfully launched the trials of CBDC to the far ends of china and provides 4 different types of E-wallets in regards to the digital currency. The least privileged account offers transactional value capped at 5000 CNY per day with a yearly cap of 50,000 CNY. Such accounts can be opened anywhere, with just a phone number.
However, people can also choose the option of opening an E-wallet with no caps by going to the bank desks with personal identification. The digital currency is monitored, tracked & controlled by smartphone apps Registered under the CCP government.
A year ago the executive from the Bank of China, Yi Gang at the same conference mentioned that CDBC saw 2 Billion CNY worth of transactions through the E-wallets, launched in the 4 cities of China.
Consequently, According to this year’s report, CDBC has witnessed a growth of more than 3000% as the trials have been expanded to almost all parts of China. The digital currency has grown into popularity and is set to overtake the current system of the exchange.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
