According to the Economic Information Daily report, gas stations in China’s tech hub Shenzen are now accepting the digital yuan, China’s upcoming Central Bank Digital Currency, days after people earned over $1.5 million in the currency as part of an ongoing pilot. Citizens can scan a unique QR code available at gas stations in order to pay, similar to how commercial payment apps such as Apple Pay operate.

The digital yuan application utilizes a “dual offline” technology

A dual offline technology is used for the wireless yuan application, meaning users can complete any payments as long as the cell phone has electricity (without the need for a phone signal). This is distinct from the existing system used by cashless payment applications such as WeChat
and many others that require an internet connection to function and even charge transaction fees.

Central banks continue to explore CBDCs worldwide

The Chinese Parliament had previously announced that it planned that before the 2022 Winter Olympics in Beijing, the CBDC dubbed DCEP (Digital Currency / Electronic Payment) will be completed and fully introduced. Early in the fiscal year beginning in April 2021, the Bank of Japan said it would perform the first phase of experiments on the core functions of CBDCs, such as issuance and delivery.

Central banks have shown interest in CBDCs worldwide, and many are actively working on the same thing.

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