People's Bank of China: yes, we're testing the digital yuan

The People's Bank of China has admitted to conducting tests on the digital yuan. Let us remind you that a few days ago, among others people associated with Binance have published screenshots of the project's mobile application in social media. This caused a lot of interest in the market.

People's Bank of China a yuan
The People's Bank of China has answered many questions in its official announcement.

So what do we know? First of all, the yuan in a digitized version will also work without a network. So if there is no coverage in some place, the transaction will come to pass. It will be enough to bring two smartphones closer together with the project's mobile application.

It has also been added that tests are ongoing in the cities of Shenzhen, Suzhou and Xiongan.

"The current closed test of the digital yuan will not affect the commercial operations of listed institutions, nor will it affect the issuance and circulation of currency, the financial market and the social economy outside the test environment."

- the bank representative added.

The digital version of the yuan will not be associated with any bank account. It is also supposedly free from control of the traditional banking system.

Authorities say yuan will be better than BTC in terms of value stability and credibility.

CBDC are more trusted than cryptocurrencies
Bank of China. Let's add to this information that Crypto.com and The Economist recently conducted a joint survey among more than 3,000 customers. What's surprising is that the results showed that many more people trust in digital central bank currencies (CBDC) than independent cryptocurrencies like BTC.

38% The respondents are of the opinion that they believe that cryptocurrencies are not trustworthy. Another view was 26 percent. Every fourth respondent had mixed feelings, and 11% respondents said that they have no opinion on this topic at all.

In turn, 54 percent respondents said they trusted the digital currency issued by their government or central bank. Only 14 percent they thought differently.

Although the People's Bank of China has not yet given the exact date of the digital yuan issue, there are many indications that it will appear on the market later this year.