Suzhou Aims to Transact $297B in Digital Yuan by 2023
• The city of Suzhou, China, has unveiled a plan to have its residents and local firms transact $297 billion worth of digital yuan token in 2023.
• The city’s plan includes goals that it hopes to meet by 2025 such as processing $30 billion worth of digital yuan-powered loans for small and medium enterprises.
• Seventeen Chinese cities have already been included in the pilot zone for the digital yuan adoption drive with more expected to be added in the coming months.
City of Suzhou Aims to Transact $297bn Worth of Digital Yuan
The city of Suzhou, located in China, has announced a new plan for its digital yuan adoption drive. The plan includes targets that it hopes to achieve by 2025 and aims to increase the cumulative transaction volume sixfold from 2022 which was around $50.5 billion. This would result in around $297 billion worth of transactions using the central bank’s digital yuan token this year alone.
Goals Set By City For Digital Yuan Adoption Drive
The city’s ambitious goals include processing some $30 billion worth of digital yuan-powered loans for small and medium sized enterprises before the end of 2023. It also revealed that over 30 million people in Suzhou had downloaded e-CNY wallets last year and close to one million companies and government organs had begun accepting payments via digital yuan tokens. Additionally, they hope to foster startups related to blockchain technology, digital finance etc so that their number increases from 400 currently to 1000 by 2025.
Chinese Cities’ Plans For Digital Yuan Adoption Drive
It appears that other Chinese cities are attempting to outdo each other when it comes to their own plans for adopting the digital currency. Earlier this week Changsha claimed that over 300,000 stores and vendors had begun accepting payments through the token while seventeen cities are already part of its pilot zone with Wuhan being named as a possible candidate for inclusion soon too.
Digital Yuan – Central Bank’s Digital Currency
The central bank’s digital currency – also referred as ‘digital yuan’ or ‘e-CNY’ – is developed on blockchain technology which is a distributed ledger system used widely across many industries today including finance, healthcare etc due its secure nature and ability quickly process large volumes data across multiple systems without any disruption or third party involvement required thus reducing cost significantly while increasing reliability at same time .
Overall this move towards transacting using digital currency is seen as an important step forward towards digitizing economy while making transactions faster & securer than ever before at same time reducing cost associated with them significantly due absence any third party involvement thus resulting huge benefit both businesses & customers alike .