Recently, Shenzhen has made a big move to take the lead in launching the pilot project of digital RMB, issuing 10 million digital red envelopes with the central bank.
Shenzhen official sources said that the number of RMB red envelopes issued this time totaled 10 million yuan, with each red envelope amount of 200 yuan, and a total of 50000 were issued. Since October 9, individuals in Shenzhen have been able to register and apply for lottery through the platform, and the winning users can get the red envelope after downloading the “digital RMB app”.
Digital RMB has the same “legal status” as ordinary currency
As the name suggests, digital RMB is a kind of virtual currency, but it is different from bitcoin, which is a virtual asset. It is legal tender issued by the people’s Bank of China, with the highest effectiveness and security. Digital RMB has the same “legal status” as cash, and its purpose is to replace part of cash by electronic payment.
The first batch of digital RMB red envelopes in Shenzhen will be received for three days. After the reservation registration, the system will draw lots. The winning red envelopes will be issued from 18:00 on October 12, with a service life of one week.
It is understood that at present, 3389 merchants in Luohu District of Shenzhen have completed the transformation of the digital RMB system, and the winning customers can use the digital RMB red envelope consumption in all kinds of merchants who have transformed the system.
Digital RMB APP is different from WeChat, Alipay and other software. It can be used directly without binding bank cards. This payment method is more similar to the traditional currency, and it can also be used for users who cannot or inconveniently hold bank accounts in overseas tourism and remote mountainous areas.
Digital currency is traceable, and double offline payment technology is more secure and convenient
In August this year, the Ministry of Commerce issued the “overall plan for comprehensively deepening the innovation and development pilot of service trade”, which proposed that we should first carry out digital RMB pilot projects in Beijing Tianjin Hebei, Yangtze River Delta, Guangdong, Hong Kong, Macao and other regions in central and Western China. At present, the identified pilot projects include Shenzhen, Suzhou, xiong’an New District, Chengdu and the future Winter Olympics.
The use of digital renminbi is similar to that of Alipay, WeChat wallet and so on. The main difference is in the technical level. Previously, Hao Yi, a researcher at the Bank of China Research Institute, said that the dual offline payment technology of digital RMB can complete transactions without network.
At the same time, digital currency also has the characteristics of traceability, the source and circulation of money are well documented, and it can also monitor the loan issuance of commercial banks.
There are many new designs for the security and convenience of digital RMB
- Double offline payment: like banknotes, it can meet the demand of electronic payment in places with poor network signals such as airplanes, cruise ships and underground parking lots;
- Higher security: for real name wallets, digital RMB can provide the function of reporting loss in case of embezzlement;
- Multi terminal selection: people who are unwilling or unable to use smart phones can choose IC cards, function computers or other hardware;
- Multi information intensity: according to the intensity of mastering customer information, the digital RMB wallet is divided into several levels. If large amount payment or transfer, it must be through the real name wallet with high information intensity;
- Point to point delivery: through the way of digital currency smart contract, it can achieve point to person delivery. People’s livelihood funds can be distributed to people’s digital wallets, so as to eliminate the possibility of false reporting, false claim, interception and misappropriation;
- High traceability: in the case that the competent authorities issue the corresponding legal documents in strict accordance with the procedures, carry out the corresponding data verification and cross comparison, so as to provide information support for cracking down on crimes. Corrupt elements will find it difficult to evade supervision even by breaking up the whole into parts.
Digital RMB is a digital form of cash, not a virtual currency such as bitcoin. Yi Gang, President of the people’s Bank of China, once pointed out that “the R & D work of digital RMB does not presuppose a technical route, that is, it can consider blockchain technology, and it can also adopt new technology evolved from the existing electronic payment.”
In the modern society with the rapid development of digital economy, people’s demand for money has begun to turn to digital. The introduction of digital RMB will improve the security and convenience of payment.
It will take time for digital RMB to be fully promoted
Digital RMB is more in line with the habits of modern consumption, has the same consumption and circulation capacity as cash, is more secure than virtual currency, and is more convenient than the existing means of payment. After registration, it can be used without binding a bank card, which is more conducive to the promotion of digital RMB in a larger population.
The concept of digital RMB has been put forward for several years, and it has finally started a pilot project in Shenzhen. After a series of tests and evaluations, it may be fully promoted in the near future. At present, Bank of China, industrial and Commercial Bank of China, Agricultural Bank of China and China Construction Bank have supported the exchange of digital RMB.
However, it still needs some time and practical experience before the official launch of digital RMB. In the future, the pilot scope of digital RMB will be gradually expanded to meet the needs of consumers in the era of digital economy.