Chinese banks explore electronic dollars to sell investment funds and insurance

According to reports, the government-backed Bank of China has begun to explore new use cases for the digital renminbi, allowing citizens to use it to purchase insurance products and investment funds online.

South China Morning Post Report On Tuesday, leading Chinese banks such as the Bank of Communications (Bocom) and China Construction Bank (CCB) are working with fund managers and insurance companies to provide electronic renminbi payments for industries outside the retail sector.

The report pointed out that China Construction Bank has cooperated with investment fund platform Shanghai Tiantian Fund Distribution to allow citizens to use digital renminbi for online fund investment. Chinese e-commerce company Jingdong will also participate in this cooperation. Zhang Min, Executive Vice President of China Construction Bank, said:

“Since 2017, we have been participating in the research and development of central bank digital currency, and we think this is of great significance to our payment system because it can improve payment efficiency.”

According to reports, CCB has opened a total of 8.42 million e-wallets for 7.23 million individual users and 1.19 million companies. Bank of Communications Executive Vice President Qian Bin said that the bank is currently exploring numerous use cases of e-yuan in the field of fund management and insurance.

The state-supported bank’s efforts go beyond the original blueprint of the central bank’s digital currency formulated by the People’s Bank of China, which aims to power low-value daily retail payments.

related: Officials say China will “maintain high pressure” in the cryptocurrency field

Although China has taken active steps to make the digital renminbi mainstream, the government has been keen to rule out the use of Bitcoin (Bitcoin) And other digital currencies within its jurisdiction.

Yin Youping, deputy director of the Financial Consumer Protection Bureau of the People’s Bank of China, recently stated that the government intends to maintain “High pressure situation“About encrypted transactions.

In addition, Chinese Bitcoin miners in Yingjiang County were also Delisting from the local hydropower grid As the suppression continues.