It seems China is gearing up its plans to introduce its digital currency. Reports have it that China could be ready for the introduction of its Digital Currency Electronic Payment (DCEP) by May this year. China plans to first test the use of digital currencies among its state employees.
The official name given to China’s CBDC project is the digital currency/electronic payment (DCEP). In recent times, industry reports have it that digital Yuan will go live in China by May.
According to China Star Market, the Chinese administration is planning to introduce it to its state employees in a test pilot for their transportation allowances and the payment of their salaries.
The four major banks to issue the digital currency include China Construction Bank, Bank of China, the Industrial and Commercial Bank of China, and the Agricultural Bank of China. However, before the banks get started, they will sign a digital currency distribution agreement by the end of this month.
A few days ago, local sources published a screenshot of an online wallet showing the use of the Digital Yuan. It was developed by the Agricultural Bank of China. Binance CEO Changpeng Zhao retweeted the screenshot. As in the tweet, the Digital Yuan is being tested at the moment in four cities which include Shenzhen, Chengdu, Suzhou, and Xiongan.
Due to the China’s ability to forge ahead with the release of the Digital Yuan, analysts within the cryptocurrency domain have been lauding the project. Matthew Graham of Sino Global talked about the project reaching the testing phase and the United States contemplation to release its digital currency.
According to Graham, “Americans are still trying to figure out if they should put on a face mask while China pushes out a revolutionary technology.”