Details about China’s central bank digital currency (CBDC) have dribbled out in a combination of rumor, leaks and official statements. The latest news is from an official source, the Central Commission for Discipline Inspection, which is tasked with enforcing regulations and combatting corruption. In the digital renminbi article, the director of the central bank’s Digital Currency Research Institute, Ma Changchun, clarified that the use of the digital currency is a choice.
“This is not a mandatory process, but a process of market-based choice,” said Changchun. “We designed the digital RMB (renminbi) from the needs of the people, and also realize the issuance and use of the digital RMB from a market-oriented perspective.”
While consumers may have a choice about whether to use the CBDC, businesses may not. A previous state media report outlined that the digital yuan cannot be refused as payment. Furthermore, many of China’s largest organizations are state owned, and they may use the digital renminbi. The first tests are along these lines.
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