Ex-Central Bank Chief Says China ‘Must Lead World’ in CBDC Adoption

The former Governor of China’s central bank, Dai Xianglong, has insisted that China needs to “lead the world’ in CBDC adoption, as the nation’s digital yuan pilot continues.

Per a Weibo post from the media outlet Finance iFeng, former People’s Bank of China (PBoC) chief Dai said that the move would help turn the yuan into “the most stable currency.”

Dai added that Beijing also needed to “promote the construction” of a bigger and better central banking “system.”

He explained that “being at the forefront of the world in the application of digital currency technology” would help China globalize the yuan.

China is hoping to de-dollarize much of its trade sector. And it wants international partners to step up their use of the yuan.

Nations like Russia and Argentina are already paying in yuan for much of their imports from China.

And Chinese financial leaders are also hopeful of using the e-CNY to bolster yuan globalization.

They have already spoken of their intentions to explore digital yuan-powered trade in ASEAN nations.

Beijing also wants to integrate the e-CNY with the Belt-and-Road Initiative (BRI), its bid to fund global infrastructure projects.

Further expansion plans have been launched in Singapore and Taiwan.

Political allies like Russia and Belarus are also eager to trade with Beijing using CBDCs interoperability solutions.

China Bidding to ‘Lead World’ in CBDC Tech

Meanwhile, Chinese cities and provinces continue making efforts to boost digital yuan adoption.

Many have created digital yuan “experience zones” in public spaces. These walk-in cabins let citizens experience opening CBDC wallets, making transactions, and more.

Per Zhongshan, the Zhongshan Branch of the People’s Bank of China has teamed with the Zhongshan Financial Affairs Bureau and the Guzhen People’s Government to launch a new e-CNY cabin.

The cabin is located in downtown Guzhen, near the popular Huafenghui Shopping Center and the Old Town Cultural Park.

The media outlet explained that the digital yuan wallet holders can “purchase” Nongfu Spring mineral water for 0 yuan at the “experience zone.”

Visitors can also use the CBDC to pay just $0.001 for a cup of freshly ground coffee, or get 10% discounts when using the e-CNY at vending machines.