DBS Group China, the mainland subsidiary of Singapore-based DBS Bank, has launched a new payment solution to support China’s digital yuan (e-CNY). This solution allows businesses to collect customer payments in e-CNY and make settlements directly into a fiat bank account. The process underwent successful testing with an e-CNY collection from a catering business in Shenzhen. This test expanded the number of businesses that can receive payments in Beijing’s central bank digital currency (CBDC).
DBS China Launches System to Expand e-CNY Usage
The successful implementation showcases the potential of using CBDCs for facilitating digital transactions in various sectors. This new payment system from Southeast Asia’s largest bank is a major step forward in the adoption of the digital yuan, providing businesses with a secure and efficient way to receive payments.
DBS China launches a system to expand e-CNY usage, promoting the adoption of China’s digital currency. The system aims to promote wider usage of e-CNY among Chinese clients and foster financial market innovation in China. Since 2019, the e-CNY has been adopted in 26 Chinese regions, with 13.6 billion CNY in circulation by 2022. DBS China’s new system is set to further increase the use of the e-CNY and help China’s economy grow.
Hong Kong Issuing Guidelines for Cryptocurrency Firms
China has officially launched its digital currency, known as the digital yuan, which is a legal tender managed by the People’s Bank of China (PBC). The move follows crackdowns on cryptocurrency trading and mining, previously a major industry in the country. However, authorities have granted Hong Kong more flexible cryptocurrency regulations, positioning the city as a digital currency hub. The digital yuan has the potential to revolutionize payments and could emerge as a global standard for digital currency.
DBS Offers Crypto Custody Service for High-Net-Worth Customers
Asia’s leading financial institution, DBS Bank, is expanding its digital asset space by assisting China in developing its digital currency. DBS has offered a crypto custody service to high-net-worth customers since 2021, allowing storage of Bitcoin and Ethereum. In May 2022, DBS and JP Morgan will launch Project Guardian, a transaction settlement platform on a public blockchain.
Additionally, Hong Kong has issued guidelines for cryptocurrency firms intending to operate within its territory. Hong Kong’s cryptocurrency guidelines require executives to demonstrate regulated experience and actively market to residents. These measures aim to ensure a regulated and responsible environment for cryptocurrency activities in Hong Kong.
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