The Chinese prototype e-CNY, a center-backed digital currency, went live in some cities earlier this month.
As the country seeks to officiate its CBDC during the Winter Games, which are due to take place February 4-20, 2022, mobile downloads have exploded. Well, that can make China’s claim to the digital yuan a practical reality – a truth for those attending the Winter Games.
Meanwhile, Android downloads on local vendor Kuchuan are already north of 14 million, at the time of writing. On the other hand, a report by SCMP noted that the e-CNY app became the most popular app on Apple iOS soon after its launch, beating market leader WeChat.
That said, several discount offers are also would have keep users hooked. Robin Deng, a resident of Chengdu, told SCMP:
“I get a 50% reduction when I use the digital yuan to take the metro. Paying with e-CNY is similar to WeChat Pay and Alipay.
Previously, private players were seen as tough competition against the digital yuan. However, the Tencent-owned company with nearly 800 million active monthly users recently noted that “this will support the digital yuan.”
But, the e-CNY would still lack some crucial features like offline payment and deposit interest. Another user Recount the paper,
“I don’t think the electronic yuan currently offers huge benefits to users, especially those in large cities where third-party electronic payment services are ubiquitous. In lower level markets in smaller towns… it might stand a chance. “
In addition, the media also claimed that the authorities were encouraging foreign companies to accept digital payments in yuan during the Beijing Games. This, in order to support wider adoption. According to previous reports, China is also considering a state-backed digital asset exchange with the aim of promoting the use of the digital yuan.
It should be noted that China Advanced become a leader in CBDC testing and pilot launches globally. Chinese local media had reported another “multipoint” e-CNY coverage during the 14th National Games last September.