China Goes a Step Further to Introduce 3,000 Digital Yuan ATMs

News / 19.06.2021

China is advancing deeper into its Digital Yuan use. Consequently, commercial banks have just erected over 3,000 automated teller machine(ATM) locations across Beijing that folks will use to convert digital yuan to cash.

Digital Yuan in China

The Industrial and Commercial Bank of China (ICBC) and the Agricultural Bank of China(ABC) are the two financial organizations that support the withdrawals and deposits of the two variants of the yuan.

According to an article, the Chinese Industrial and Commercial Bank of Beijing is the first bank to fully permit digital yuan exchange in China’s capital to create over 3,000 ATMs compatible with digital currencies. In addition, ABC added approximately a dozen ATMs in Beijing District Dongcheng on Wangfujing Street, a significant shopping and commercial district.

As mentioned before, last January, the government-owned financial institution launched digital yuan ATMs, enabling customers to deposit and withdraw digital foreign funds in branches in the entire Shenzhen region. In addition, ABC is active in the cultivation of digital foreign money pockets.

The Chinese authorities in the capital have sold digital yuan actively as part of the continuing digital yuan pilots through a foreign digital lottery. In a marketing campaign enabling contributors to spend digital foreign money rewards until 20 June, the State plans to provide 40 million yuan ($6.2 million) to Beijing’s inhabitants.

China Leading the CBDC Race

Several countries are trying CBDCs, but China is the race leader. Most other countries are still in research and development. Still, others have already begun trials. A few less ambitious countries have gone beyond development phases, such as the Sand Dollar, which other nations regard as the most realistic example of CBDC.

The UK has begun to propose its own probable CBDC for research or draft rules. In contrast, the Minister of Economics of Brazil has announced its own CBDC by the South American country. And the Turkish government has said that it will develop software platforms for immediate payments and pilot its sovereign digital currency.

The People’s Bank of China, the county’s central bank, intends to employ the digital yuan as a cash substitute.

In Beijing, the Local Financial Supervision and Administration Office stated earlier this month that 200 000 people in the city could participate in a 40 million Renminbi Lottery ($6.2 million). The winnings will be dispersed in the digital yuan, delivered through a digital “red envelope.”

In other major cities in China, DCEP pilots took part. In October 2020, Shenzhen, the nation’s most prominent IT hub, held a similar lottery. That divided over 10 million yuan among 50,000 residents (about 1.5 million dollars).

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Wayne is a Blockchain enthusiast and expert in crypto trading. Currently, he covers trendy issues on digital currencies.