- Research and development of digital yuan to continue in 2020 – says PBOC
- The central bank said it made “smooth progress” on the digital currency in 2019
- The step to create a digital currency is taken to offset perceived risks presented by Bitcoin and Libra
China’s central bank said on Sunday that it doesn’t have a launch date for its sovereign digital currency but will continue with its research and development, as per the local reports.
Last month, Mu Changchun, the official in charge of its development said the “top-level design, formulation, functional research and testing” had been completed.
The People’s Bank of China also shared during the annual work conference held last week that it made “smooth progress” on the digital currency in 2019.
In December, Caijing, a Chinese business magazine reported that the country’s four big state banks — Bank of China, Agricultural Bank of China, China Construction Bank, and Industrial and Commercial Bank of China — and three state-owned telecom firms are involved in its development.
Recently, Mu also said that the sovereign digital currency was intended as a replacement for cash and not designed for speculation.
PBOC has been one of the first central banks to promote the idea of a CBCD. Last year, after Facebook announced plans for its own digital currency Libra, the bank’s research institute stepped up its development. The officials came out to the public and shared aspects of this upcoming digital currency that they said has been ready after five years of research.
Sweden is also working on an e-Krona while Bank of Japan governor would conduct “technical and legal research” into digital currencies but has no plans to issue one because there was no demand.