Finally, the official tests on the Chinese CBDC, the first tests are already underway

Finally, the official tests on the Chinese CBDC, the first tests are already underway

By Roberto D. | CryptoFarm | 9 Dec 2019


It is reported by Caijing, a Chinese financial information site that, with an article published today, informs us that the first tests for the Chinese CBDC will start in Shenzhen and Sunzhou, but there is the possibility that in the coming weeks it will be decided to extend the experimentation also in other cities; to participate in the project in the first phase will be both state and private companies, with the four large Chinese commercial banks (China's industrial and commercial bank, the Bank of China, the China Construction Bank and the Agricultural Bank of China) and the three main operators in telecommunications (China Telecom, China Mobile and China Unicom) destined to play a leading role. The aim is to experiment with the new currency, which will be called DCEP (an acronym for Digital Currency Electronic Payment) in concrete scenarios such as transport payments, education, health care and the various experiments that will be designed by banks and telecommunications companies to test the new tool. The pilot project was divided into two phases, of which the first would seem to have already started, while the second should be launched in the course of 2020 on a larger scale and here the city of Shenzhen, an increasingly important nerve center, comes into play. Today's China; if all tests are successful, then the actual launch will proceed.

Caijing then confirmed that the desire to speed up the CBDC project was the result of the presentation of libra (the currency to which he is working facebook) and added that, in a sense, DCEP would have some similarities with its own pound; this, however, although it would be a very interesting news to analyze, cannot be proved since we do not have enough technical details on it or on the new Chinese currency. Meanwhile, several officials of the Chinese central bank are trying to reassure the public by ensuring that the purpose of this currency is to replace the cash, so it will necessarily have features that make it capable of competing with paper money as we have always known it and therefore must be of easy to use and, above all, to guarantee an adequate level of privacy. Precisely this point, net of all the reassurances given by the government, gives rise to numerous doubts since few believe that China, a country where mass control is becoming more and more pervasive, is really intent on offering anonymity of transactions with its own CBDC, however until we have the possibility of technically analyzing the new currency it will be necessary to take the statements of the Chinese government for good.


Roberto D.
Roberto D.

Born, and still living, in Italy. Passionate about cryptocurrencies since I discovered ethereum in 2016 https://linktr.ee/robertod


CryptoFarm
CryptoFarm

All about crypto and airdrop

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.