China plans $6.2 billion digital currency lottery for Beijing residents

After testing the use of digital renminbi in some small towns, China is now planning a large CBDC gift for Beijing residents. The Chinese government has planned a lottery draw of 40 million renminbi ($6.2 million) in the form of digital currency. China has been running such programs for a while as it tests the acceptance of CBDC among its population. For the distribution of CBDC, the government has also partnered with some of the biggest financial players such as Ant Financial. To sign up for the current lottery, Beijing residents can use two major banking apps and win one of the 200,000 so-called red packages. According to the information provided by the Beijing Local Financial Supervision and Management Bureau, each of these packages has 200 yuan or $31 that can be spent at select merchants. The deadline for this application is June 7th. We can say that the Chinese central bank is one step closer to the national launch of the CBDC. In April 2021, PBoC Vice President Li Bo said that the central bank could expand the scope of digital currency pilot projects. China's central bank was keen to introduce CBDC during the 2022 Winter Olympics in Beijing. Earlier this year, in February 2021, China held a similar exercise in Chengdu City. The central bank rolled over 40.2 million in the Digital Yuan lottery. China's Race with CBDCs China is one of the early entrants to the CBDC game and is looking to keep up with other strong economies. There were discussions that China's CBDC development could threaten the dominance of the US dollar in international markets. To clarify this matter, PBOC Deputy Governor Li said that the PBoC has no such plans. Before the internationalization of the renminbi, we have often said that this is a natural process and that our goal is not to replace the US dollar or any other international currency. I think our goal is to let the market choose and facilitate

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