China’s central bank digital currency (CBDC) will give away Twenty million yuan ($3 million) to 100,000 Chinese residents in the nation’s most comprehensive digital yuan test to date. The digital currency will be admitted at 100,000 stores, including JD.com, one of China’s largest online retailers.
$3 Million in Digital Yuan Giveaway
As per announcement posted Friday by the Chinese city of Suzhou, found west of Shanghai, it is heard to be gearing up to give away 20 million yuan in the nation’s central bank digital currency (CBDC) to 100,000 residents the Suzhou municipal government.
The digital yuan is officially known as the Digital Currency Electronic Payment (DCEP). The South China Morning Post detailed.
A sum of 100,000 digital red packets, each holding 200 yuan, will be allocated to residents this coming December 11, the eve of the so-called Double Twelve (12/12) shopping festival. They will be valid until December 27.
The news media added that,
“Any Chinese citizen living in the eastern city can register for the lottery through Suzhoudao, the city’s official public services app.”
The lotto winners will get the red packets through the official Digital Renminbi App.
A few hundred digital yuan giveaway winners will also become the first to use what the central bank, the People’s Bank of China (PBOC), calls “dual offline wallets.”
This enables them to use the digital yuan to pay for goods in stores without having to be connected to the internet, “effectively replacing notes and coins with the digital yuan,” the news outlet communicated.
About 10,000 stores will take part in Suzhou’s digital yuan trial. This includes JD.com, which claims to be China’s largest online retailer. On Saturday, the company announced it had become China’s first online platform to accept the PBOC-backed digital currency, Reuters reported.
JD.com’s fintech arm JD Digits will allow the digital yuan to pay some products on its online mall, a post on its official Wechat account articles.
Suzhou’s digital yuan airdrop is similar to the giveaway in Shenzhen where the first large-scale public trial of the PBOC-backed digital currency took place in October. Ten million yuan were airdropped to 50,000 Shenzhen residents, and 3,389 stores participated.
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