There are already a total of 23 cities and provinces playing a role in the digital yuan pilot held in China.
The People’s Bank of China (PBoC), the most prominent state entity in charge of the Asian country’s monetary rules, revealed that the pilot program for the adoption and use of the digital yuan will meet an expansion to 11 other cities, with which citizens will be able to start carrying out activities with the state crypto asset through its official wallets.
New Cities and Regions Would Take Part in the Digital Yuan Pilot
This information got reported by the PBoC in a recently released statement, highlighting that the cities that will join the pilot would include Tianjin, Chongqing, Guangzhou, Fuzhou, Xiamen, Zhejiang province, and Hangzhou, the latter being one of the most relevant as it will present the Asian Games in September this year.
Although the cities that would join the pilot will gradually get included, local reports highlight that various citizens have already gained access to digital wallets enabled to them since last Friday.
While for others the activation would gradually get enabled in the upcoming days with these new cities included in the pilot, there are already a total of 23 regions in China where it is possible to work with the state digital asset.
More Reports
According to reports filed by the PBoC, the network has managed to collect maximum activity peaks registered at 10,000 transactions per second, but once there is better adoption it will experience at least 300,000.
In terms of capital volumes, there are more than USD $13.75 billion in issued activities. However, there are currently many active wallets, but only a section would be the one that is transacting regularly.
Among the residents of the regions taking part in the pilot, to start working with the digital yuan, it would only be required to link the wallet with a single telephone number. At the moment, small transactions happen instantly but those that surpass certain limits need more compliance with KYC procedures, the latter being the subject of criticism based on user privacy issues.
Other Countries Would Face this Possibility
Although the creation of the digital yuan keeps moving forward in harmony with the government’s intentions, other countries are more interested in the possibility of issuing their own digital assets supported by their respective central banks (CBDC).
Among these, the US especially stands out, whose government has announced recently a possible review of a digital dollar.
The entities began to refine regulations at the state level to deal with digital assets operations, while the parliaments of each state are moving at the legislative level to control the use of said currencies in their respective regions.
The Indian government, despite all the obstructions and tax considerations, is currently working on a review of the digital rupee.
By: Jenson Nuñez
