China’s digital yuan project has reached a major milestone, surpassing $1 trillion in transactions, according to a senior official from the People’s Bank of China (PBOC). Lu Lei, the Deputy Governor of the PBOC, revealed that the digital currency has been piloted in 17 different areas, accumulating a total transaction value of 7 trillion yuan. This significant achievement is a result of over a decade of research and four years of pilot experimentation. The digital yuan has been tested in various sectors, including wholesale and retail, catering, culture and tourism, education, and healthcare. It has proven successful in improving financial inclusivity, boosting consumption, and optimizing the business environment in China.
Furthermore, China is actively engaged in international cooperation for the digital yuan. The PBOC is collaborating with central banks from Hong Kong, Thailand, and the UAE on a cross-border digital currency project led by the Bank for International Settlements. The aim of this project is to address cross-border payment inefficiencies. Real transactions have already taken place among the participating jurisdictions, demonstrating the potential for future global payment system enhancements. These developments indicate that China is making significant progress in digital currency innovation and paving the way for the widespread adoption of the digital yuan.