On this joyous occasion of the Spring Festival, China is allocating a generous sum of $26 million in Central Bank Digital Currency (CBDC) to its citizens. This munificent gesture reflects their commitment to financial inclusion and technological progress. The government’s digital Yuan activities have seen a massive uptake in multiple cities, with the total value surpassing 180. million Yuan ($26.5. million) as per local sources.
It is a good start as the country’s ban on cryptocurrency gave a rise to illegal monetary activities which will also be combated by this massive uptake as the adoption of digital yuan will help divert crypto user’s attention toward this new potential digital currency.
Inevitably, such an ambitious project has faced many stumbling blocks; however, these have been overcome through the collective efforts of dedicated personnel who are experts in their field. The result: a groundbreaking breakthrough that promises to revolutionize digital payments forever.
Why does China choose the Spring Festival to Give Digital Yuan?
This introduction of the new currency at such an opportune time reflects China’s effort to boost usage of its state-run currency as people get ready for their shopping sprees during the festive season. The move has been lauded by experienced commentators, who feel it is an apt way to promote financial inclusion and reduce dependence on cash.
In a bid to further encourage its usage, several supermarkets, transportation services, and tourism businesses have announced that they’ll now be accepting payments made with the digital yuan.