Hong Kong to test linking China’s digital yuan with domestic payments – Reuters

SourceReuters
SectorEconomy
CountryUAE

A sign indicating digital yuan, also referred to as e-CNY, is pictured at a shopping mall in Shanghai, China May 5, 2021. REUTERS/Aly Song

Hong Kong is to test connecting China’s digital yuan with its domestic payments network, officials said on Tuesday, the second stage of trials of China’s digital currency in the financial hub.

China’s e-CNY is one of the most advanced central bank digital currency (CBDC) projects among major economies. Chinese officials say the project will be initially domestically focused, but cross-border trials are also under way in Hong Kong.

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Countries around the world are looking at developing CBDCs to modernise their financial systems, ward off the threat from cryptocurrencies and speed up domestic and international payments. read more

This latest trial will explore how Hong Kong residents can top up an e-CNY digital wallet using the city’s faster payment system, currently used to make domestic payments via mobile phones.

“This will help Hong Kong...read more...