Guangzhou launches test fare payment with digital yuan

The testing of the digital yuan is increasingly turning into its integration into the monetary circulation in China.
As it has become known, authorities in Guangzhou, China, have announced the launch of a pilot project to use the digital yuan (DC/EP or e-CNY) as a means to pay for public transportation – particularly buses. The city initially selected the 10 longest and most popular bus routes, announcing it on its WeChat social network page, stressing that it intends to expand the number of bus lines where e-CNY fares can be paid for.
From the details, it became known that passengers must open a digital wallet in the Construction Bank of China, in which they can download e-CNY. Recall that earlier in June, this credit institution has opened for its customers to apply digital yuan when using the bank’s brokerage services.
The digital wallet is downloaded to a smartphone, and then it is already possible to pay for transport in exactly the same way as with a virtual bank card, using NFC technology.
In addition, this week, residents of the Chinese city of Ningbo got the ability to pay with e-CNY in a digital wallet for fares at 125 local subway stations. Ningbo became the ninth city in China to offer this option to pay for metro fares.
It is worth noting that the testing of the digital yuan, which has been going on for more than three years, is increasingly turning into its integration into monetary circulation in China. In the U.S., the digital yuan and its potential on the external circuit is perceived as a direct risk to the dominance of the U.S. dollar in global commodity transactions.

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