• WeChat and Alipay, two popular payment apps in China, have integrated the digital Yuan into their platforms to make payments faster and easier for users.
• The Bahamas, China and Nigeria are three of the first countries to launch a Central Bank Digital Currency (CBDC), with China actively pushing for wider adoption of its e-CNY across its regions.
• Despite its potential benefits, some people remain skeptical about CBDCs, citing it as a form of slavery and tool for surveillance of citizens.
Digital Yuan Integration In WeChat & Alipay
WeChat and Alipay, two popular payment apps in China have integrated the digital Yuan into their platforms to make payments faster and seamless for app users. With this integration, many people who use WeChat can make payments via the app in e-CNY. Currently, the app has a transaction limit of 2,000 Yuan or $289 while the daily limit is 5,000 Yuan or $720.
Central Bank Digital Currencies
The increased growth and adoption of the crypto industry has led many countries to pursue Central Bank Digital Currencies (CBDCs). Three of the first countries to launch a CBDC were The Bahamas (Sand Dollars), China (e-CNY) and Nigeria (eNaira). Other countries are in different stages of CBDC development but China has continued to pursue a wider adoption by conducting promotional activities such as gifting wallet owners with certain amount and even dishing out lotteries in local communities.
China’s Push For Adoption Of Digital Yuan
China’s government has made several efforts to make digital assets an everyday transaction currency on its shores by launching trial programs that have reached up to 15 provinces with millions of wallets actively using the digital Yuan. This integration plus the use of Digital Yuan in Alipay is an effort by China to increase adoption within the country.
Skepticism About CBDCs
Despite its potential benefits such as ensuring security for investors, many people remain skeptical about CBDCs calling it a form of slavery and tool for surveillance of citizens. A Bitcoin Magazine post on Twitter even hinted that China could impose an expiration date on its digital currency forcing people to spend instead saving it which caused concern among crypto enthusiasts.
The Chinese government continues showing strong support towards increasing adoption rate of digital assets within their country through various means such as integrating them into WeChat & Alipay platforms as well as launching trial programs throughout 15 provinces within their region making it easier for people adopt these new technologies. Despite these efforts there still exists skepticism surrounding these new technologies due concerns over privacy & security issues which need addressing before they become widely accepted globally.