- Reports show American corporate giants in line to test China’s long-awaited digital currency electronic system.
- The trials are set to occur in China’s new city, Xiong’an, with the date remaining undefined.
In reports emerging from China, the DCEP system is set to begin testing across a number of companies including U.S. restaurant corporate giants including McDonald’s, Subway, and Starbucks. According to a media outlet, South China Morning Post, the People’s Bank of China (PBoC) is set to start its operational trials of the DC/EP in bars, retail stores, hotels, and other convenient stores in its new digital city, Xiong’an in the near future.
American companies selected to test China’s DCEP
The PBoC launched its initial plans to create its own “digital yuan” back in 2018 and has since made massive steps towards a potential launch. The central bank is currently aiming at launching the digital currency in its new tech city, Xiong’an, in the coming days with three U.S. based food chain giants – Starbucks, McDonald’s, and Subway being selected to test the platform.
The pilot program will also include a number of restaurants, hotels, bars, retail shops, institutions, universities, and scientific research institutions from smart city-related fields in Non-profit associations.
According to Mutual Chain Pulse, a local news outlet, a meeting between the heads of Xiong’an and DCEP leaders was held in the new area city on April 22, testing the pilot promotion meeting. The promotion meeting was organized by the Reform and Development Bureau of Xiong'an New District Management Committee.
What’s fascinating about the meeting is that top competitors in the digital payments field including Alipay and WeChat executives were present.
Competitors unite under DC/EP
The DCEP pilot program was launched by the Smart City Federation of Xiong'an New District and is part of the Smart City Project in Xiong’an which launched back in 2019 including different sectors of the economy including small and medium-sized enterprises, higher education institutions, research institutes, and technology companies.
According to Mutual Chain Pulse, the top directors of the Smart City Federation come from top firms such as Huawei, Tencent, Ali, Baidu, and Ping An.
Finally, the DC/EP is expected to conduct a dry run on the payment of state employees in Xiangcheng District of Suzhou later in the year. The project is headed by four banks in the region including Commercial Bank of China, the Agricultural Bank of China, the Bank of China, and the China Construction Bank.