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China seeks to use digital yuan in mutual funds and insurance industry

Recent reports suggest that Chinese banks are looking into the use of digital yuan in insurance and mutual funds. A number of major banks in the country are cooperating in this project.

to the Report Crypto News, some of China’s largest commercial banks, are looking into the use of digital yuan in products related to mutual funds and the insurance industry. This move by Chinese institutions is a broad move apart from examining the core functions of the digital yuan.

Since China’s central bank launched the digital yuan test, most initiatives have focused on “business-to-consumer” or “B2C” payments in stores or public transportation networks. However, as reported by the South China Morning Post, the Bank of Communications and the Construction Bank of China have said they are working with investment fund managers and insurance companies to become part of An auction bid explores the applications of digital yuan in cases “beyond micro and low-cost payments.”

Bank of China, one of the country’s four largest banks, has said it is working with Shanghai Tiantian Fund Distribution and JD, China’s e-commerce giant. The Shanghai Titan Fund Distribution is part of a business group run by East Money Financial Data and Media Analysis Corporation. This partnership allows the companies’ clients to invest their assets in online mutual funds using digital yuan.

Bank of Communications has not yet released the names of the insurance and capital management companies it works with.

The bank’s vice president said in his speech that his company’s commitment is to facilitate the development and liquidity of this currency. According to him, the company has done a lot to ensure the high performance and stable performance of the digital yuan system.

As of the end of July, China Telecommunications Bank had processed more than 6.3 million transactions in digital yuan, according to media reports; That equates to $ 387 million. The Construction Bank of China has also announced that it has processed 28.5 million transactions in digital yuan since the start of the pilot program.

Bank of Communications is one of the oldest banks in the country and the fifth largest bank operating on the Chinese border. The bank, meanwhile, joined the program in the final stages of digital yuan testing. However, it was one of the most active institutions in the digital yuan pilot program, and earlier this month, during a digital yuan pilot program in collaboration with Jidi, it awarded some digital yuan to people in a lottery that they could use in the Jidi store. کردن.

China Telecommunication Bank also announced earlier this year that it was developing a wallet compatible with digital yuan. The wallet is set to act as a competitor to the wallets of China’s four other major banks.

Tejarat Bank of China, Citic Bank, Post Bank, Sanat Bank and China Agricultural Bank are among the other banks in the country that are cooperating in the digital yuan project.


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