In a groundbreaking development for China's digital currency landscape, the central bank has announced that commercial banks will now be allowed to pay interest on digital yuan wallet balances. According to the results published in the material, this decision, effective from January 1, signifies a pivotal shift in how the digital yuan is integrated into the financial system.
PBOC Permits Digital Yuan in Asset-Liability Management
The People's Bank of China (PBOC) has officially permitted commercial banks to incorporate digital yuan into their asset-liability management, allowing them to treat it similarly to traditional cash. This change not only enhances the functionality of the digital yuan but also encourages wider adoption among consumers and businesses alike.
Advancing the CBDC Initiative
As the country continues to advance its Central Bank Digital Currency (CBDC) initiative, this move is expected to bolster the digital yuan's appeal by providing users with an incentive to hold their balances in digital form. By offering interest, the PBOC aims to position the digital yuan as a competitive alternative to other forms of digital payment and savings options available in the market.
In a related development, Tripcom has integrated USDT and USDC payments, enhancing digital transaction capabilities. This move reflects the growing acceptance of stablecoins in the financial landscape. For more details, see read more.
