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State-Backed Agricultural Bank of China Launches the First Digital Yuan ATMs

12/01/2021 by Idelto Editor

The Agricultural Bank of China (ABC), one of China’s “big four” banks, is embarking on a pilot program to enable the first digital yuan ATMs. The banking institution deployed the first machines in selected branches in Shenzhen.

ATMs Will Work With a Smartphone App

According to SZ News, the program is part of the ongoing second digital yuan trial, consisting of a giveaway of 200 yuan ($31) to 100,000 residents.

The ATMs enable the possibility to deposit and withdrawal the digital yuan via a smartphone app. The pilot program’s mobile app allows customers to convert cash and savings to and from the token.

As the digital yuan pilot programs keep underway across the country, it’s not surprising that the ABC is testing the digital yuan ATMs. In fact, the bank is a partner of the People’s Bank of China (PBoC).

Zou Hua, manager of the bank’s Digital Yuan Innovation Lab, commented on the ATMs infrastructure’s deployment across Shenzhen:

Agricultural Bank has taken the lead in launching the ATM cash deposit and withdrawal function in the industry to guide Shenzhen residents to adapt to the digitization of cash and explore service transformation.

Shenzhen’s Interest in the Digital Yuan High, Says Expert

Moreover, local experts are reporting positive progress from the digital yuan tests in the city. A comment from Song Qinghuim, a local economist quoted by SZ News, reads as follow:

The third station of the digital RMB pilot program returned to Shenzhen again, indicating that the market has recognized the city. Compared with the first pilot, there have been many changes, which indicates that the digital RMB project is progressing steadily.

The Shenzhen authorities and the PBoC are also preparing the ground to launch another $3 million digital yuan giveaway. They expect to make it possible before the Lunar New Year holidays (mid-February).

Recently, the People’s Bank of China approved a physical card-wallet pilot to test its digital yuan. Coffee shop staff in a Shanghai-based university hospital was chosen as participants in the pilot.

What do you think about the new digital yuan ATMs? Let us know in the comments section below.

China Launches Digital Yuan ‘Hard Wallet’ Card Pilot Program

10/01/2021 by Idelto Editor

The People’s Bank of China (PBoC) have green lighted a physical card-wallet pilot to test its digital yuan. Coffee shop staff in a Shanghai-based university hospital was chosen as participants in the pilot.

Wallet Card Can Pay or Accept e-CNY Without Wi-Fi or a Mobile Connection

According to Tencent News, staff members at Shanghai Jiao Tong University School of Medicine’s Tongren Hospital used the digital yuan token to pay for food. They used a point-of-sale device and a physical card with a small screen in the top right corner.

The card reveals how much digital yuan remains in the wallet. Local media reports claim that the Postal Savings Bank of China is in charge of providing technical support. The “hard wallet” allows staff to buy products such as a cup of coffee or snacks.

One of the photos featured in Tencent’s article also shows a hospital staff member holding a card with 144.75 yuan on it and three offline payments available. The latter feature allows people to pay or accept e-CNY transfers without Wi-Fi or a mobile network connection.

Digital Yuan Tests Still Taking Place in Several Chinese Cities

So far, the digital yuan pilot programs have been underway internally in Chinese cities such as Shenzhen, Suzhou, Xiongan, Chengdu, preparing for the Winter Olympics — an event which is still scheduled to take place in 2022.

Although local experts have warned that there is still “a long way to go” before the token can be fully launched, PBoC officials believe that the digital yuan could be launched before the Olympic event.

The central bank aims to attract as many domestic and foreign spectators as possible to use the digital yuan. The Chinese government’s plans points towards reducing dependence on the USD.

What do you think about the ongoing digital yuan tests? Let us know in the comments section below.

Chinese State-Run Media Believe BTC Price Surge Is Just ‘Hype’ While Praising Blockchain

03/12/2020 by Idelto Editor

Two Chinese state-run media outlets have published a brief news item urging citizens to focus more on blockchain technology than on the “hype” of the recent surging Bitcoin prices across the board.

China’s Government to Focus on Blockchain

Both Sina and Xinhuanet have stated that the recent rally in BTC prices has no clear explanation. Instead, the reporters behind the article, Mao Zhenhua and Zhang Xiaohui, said people should focus on pro-blockchain state policies.

Within the brief piece, the state-run press agency ensures that people are “gradually seeing the potential of blockchain technology and technological progress and regulatory escort are going hand by hand.” This is in line with the state’s negative stance towards the surge of interest in BTC and altcoins.

The article adds that while crypto trading still represents an investment method that only generates “uncertainty”, blockchain technology is within a “narrow right path,” the results of which will be “fully realized” in the future.

While it is not the first time that larger Chinese state media outlets have referred to BTC prices, they have had a history of staying out of mentioning or reporting on cryptocurrencies within their editorial line.

Bitcoin and other cryptocurrency-related activities have been practically marginalized due to the country’s crackdown on the industry in 2017.

The Chinese government also continues to push its boundaries to make the digital yuan fully a reality, as the People’s Bank of China (PBoC) published a draft law on October 20 that gives legal status to its central digital currency (CBDC).

Interest in Bitcoin skyrockets

Not only have Bitcoin prices reached significant highs this year, very close to the $20,000 threshold, also according to Google Trends, interest in the term “bitcoin” hit an 18-month high. The last time interest touched such level dates back to mid-June 2019, while the all-time high in searches was seen in February 2018.

What are your thoughts on the Chinese state-run media stance on BTC? Let us know in the comments section below.

The post Chinese State-Run Media Believe BTC Price Surge Is Just ‘Hype’ While Praising Blockchain appeared first on Bitcoin News.

China Drafts Law to Legalize Digital Yuan, Outlawing Competitors

24/10/2020 by Idelto Editor

China’s central bank, the People’s Bank of China (PBOC), has drafted a law to legalize the digital yuan and outlaw digital currencies issued by anyone else competing with it. Meanwhile, the central bank has been cracking down on gambling sites that use the stablecoin tether.

China Drafts Law to Recognize Digital Yuan

The People’s Bank of China published a draft law on Friday that gives legal status to its central bank digital currency (CBDC), the digital yuan. The central bank has also begun a public consultation on the draft law; comments can be submitted through Nov. 23.

“The legal currency of the People’s Republic of China is Renminbi [RMB],” the draft law states, adding:

RMB includes physical form and digital form … No unit or individual may produce or sell tokens, coupons and digital tokens to replace RMB in circulation in the market.

The wording of the law seems to target yuan-pegged stablecoins but the prohibition could also include other digital currencies the PBOC views as threatening to the RMB.

China has been heavily testing the digital yuan. A public test was recently launched in Shenzhen where the authorities gave away 200 yuan (about $30) to 50,000 residents to spend at 3,389 stores.

China Cracks Down on Gambling Sites

In a Wechat post published Friday, the central bank outlined its efforts cracking down on cross-border gambling sites that enable Chinese citizens to transfer money abroad, bypassing China’s capital controls.

According to the post, the People’s Bank of China recently assisted local police in Huizhou city with cracking down on cross-border online gambling sites that allegedly use tether (USDT) to launder money. Three gambling sites, handling almost 120 million yuan, were shut down and 77 suspects were arrested.

What do you think about China stifling competitors to the digital yuan? Let us know in the comments section below.

The post China Drafts Law to Legalize Digital Yuan, Outlawing Competitors appeared first on Bitcoin News.

China’s Digital Currency Has Been Used in 3 Million Transactions Worth Over a Billion Yuan So Far

08/10/2020 by Idelto Editor

China’s central bank digital currency has been used in 3.13 million transactions worth about 1.1 billion yuan ($162 million) so far, the People’s Bank of China’s deputy governor has reportedly revealed. In addition, more than 122,000 digital wallets have been created.

‘Positive Progress’ of Digital Yuan Pilot

The People’s Bank of China (PBOC) has been actively testing its central bank digital currency (CBDC). At Sibos, the global financial services networking event organized by SWIFT, PBOC Deputy Governor Fan Yifei updated the progress of digital yuan testing on Monday, the South China Morning Post reported.

Noting that the pilot program has made “positive progress,” the deputy governor said that 3.13 million transactions worth 1.1 billion yuan have been processed using the digital currency, the publication conveyed. Since late August, the digital currency has facilitated more than 6,700 use cases, ranging from bill payments and transport to government services, Fan detailed, elaborating that multiple payment methods have been used, including bar code, facial recognition and tap-and-go transactions.

Fan also said that users have created more than 113,300 personal digital wallets and about 8,800 corporate digital wallets as part of the pilot program. In addition, the deputy governor explained that the Shenzhen government used the digital yuan to reward about 5,000 medical and healthcare workers dealing with Covid-19 cases.

The Chinese government previously explained that users in the trials of the digital yuan, known as Digital Currency Electronic Payment (DC/EP), “can use the digital wallet to top up accounts, withdraw money, make payments, and transfer money after registering with their mobile phone number.”

Four major state-run Chinese banks have started large-scale internal testing of the digital renminbi wallet: China Construction Bank, Bank of China, Industrial and Commercial Bank of China, and Agricultural Bank of China. China Construction Bank reportedly launched a digital renminbi wallet in its official app in August.

The digital yuan’s trials are also being conducted in major cities, including Beijing, Hong Kong, and Macau. The PBOC-backed digital currency will additionally be tested at the 2022 Winter Olympics games in Beijing.

What do you think about how fast China is testing its digital currency? Let us know in the comments section below.

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