Top-Level Design, Joint Tests of China’s Central Bank Digital Currency Completed
- The news comes from the bank’s “Inventorying the Bank’s 2019 FinTech” paper, which was published recently.
- The bank now plans to focus on improving the cybersecurity of the financial industry network.
Office building of the People’s Bank of China. Flickr
The People’s Bank of China (PBoC), the country’s central bank, has completed the “top-level” design of its anticipated central bank digital currency (CBDC), local news outlet Sina reported on 10 January.
According to the report, the PBoC was able to finish the “top-level design, standard formulation, functional research and development”, as well as a joint testing of its planned digital yuan.
The bank announced the development in a paper, called “Inventorying the Bank’s 2019 FinTech”, which not only highlighted its plans to improve the financial industry network’s cybersecurity, but to also formulate rules for the accreditation of critical information infrastructure.
Even though last week the PBoC stated that the development of the digital yuan was “progressing smoothly”, we still do not know its official launch date.
We do, however, know that the much-anticipated CBDC will first be distributed to commercial banks, and then users and businesses will be allowed to register digital wallets with these banks.
As previously reported by The Chain Bulletin, the first city to test the digital currency appears to be Shenzhen, with Suzhou following closely after it.
It is expected that the tests of China’s CBDC will go beyond the central bank system and that they will also encompass service scenarios such as transportation, education and health care.
- The head of China’s central bank digital currency institute said the e-CNY has undergone a major upgrade, and should be made available as an option in all retail scenarios.
- The PBOC official noted that platforms can integrate the CBDC in the short term using QR codes, and focus on upgrading their payment tools in the long run.
Office building of the People’s Bank of China. Flickr
- The team behind Multichain confirmed that their CEO was detained in China on 21 May, and that all of his electronic devices were confiscated by the local police.
- The CEO’s sister moved the project’s remaining funds to wallets under her control on 9 July, and several days later was also detained by the police, leaving the team with no funds.
- A new 13-count superseding indictment has accused Sam Bankman Fried of bribing one or more Chinese officials in order to unfreeze accounts connected to Alameda.
- In early 2021, Chinese authorities froze certain Alameda accounts on two of China’s largest crypto exchanges”, which reportedly held more than $1 billion worth of crypto assets.