China To Expand Its Digital Yuan Trial And Increase NFT Oversight - Kitco NEWS

China To Expand Its Digital Yuan Trial And Increase NFT Oversight – Kitco NEWS

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(Kitco News) – Despite the blanket ban on cryptocurrency activities like mining and trading in China, the country remains at the forefront of developing and regulating the nascent asset class as blockchain technology continues to be integrated across Chinese society.

Creating a central bank digital currency (CBDC) is one area where China is clearly at the head of the pack, having already begun pilot testing for a digital yuan in 17 provinces, which includes 26 large cities and 5.6 million merchants.

An update released by the People’s Bank of China (PBoC) on Monday indicates that the bank plans to continue expanding the pilot program to allow for additional testing and exploration of the possible applications of a digital RMB throughout the country.

The stated goal of the PBoC is to “continue to carry out innovative applications of digital renminbi to realize the interconnection between the digital renminbi system and traditional electronic payment tools.”

Ultimately, the central bank wants to develop a system where users can “scan with one code” while merchants can support as many types of transactions as possible while minimizing the increase in costs to customers.

As part of its efforts to increase adoption, the PBoC has hosted 30 “red envelope activities” in pilot areas where citizens are airdropped small amounts of the e-CNY that can be used to make online and offline purchases. The central bank plans to continue hosting such events to promote the digital yuan and encourage its use.

NFT oversight