The Strategist

China seeks trailblazer's benefits in developing digital yuan - Japan Ministry of Finance

10/09/2020 - 04:18

In its efforts to develop the digital yuan, China seeks to “take advantage of the trailblazer position” in this area.

faungg's photos
faungg's photos
This opinion was expressed on Thursday by Japan's vice minister of finance for international affairs Kenji Okamura.

“[The development of digital] yuan is progressing relatively quickly <...>. As I said, they are probably looking to take advantage of the pioneering benefits,” he said in a video conference hosted by the Center for Strategic and International Studies (CSIS), Washington.

“Pioneer Benefits are what <...> we should fear. <...> This advantage sets standards in the design of mechanisms. <...> Mechanism design standards, technology platform that can facilitate further widespread adoption of this currency,” added Okamura.

At the end of August, the head of the monetary policy department of the People's Bank of China (Central Bank) Sun Guofeng said that the PRC was then conducting internal closed testing of the digital yuan, there was no exact timetable for the release of the digital currency.

As previously reported by the Ministry of Commerce of the PRC, in April this year, the experimental use of digital currency began in the Chinese cities of Shenzhen, Chengdu, Suzhou and Xiong'an Special Economic Zone, located in the vicinity of Beijing.