Chinese city Suzhou is reportedly rolling out a test for the country’s central bank digital currency dubbed DC/EP in “red packets” starting next month.
The Paper, an online media under the state-owned Shanghai United Media Group, reported that the trial would take place on December 12, a date that’s known as Double 12 in China – a year-end shopping festival. It was also already reported earlier that some government employees were given transportation allowances in digital yuan – also known as DC/EP – as part of an ongoing trial in Suzhou.
According to local news reports, the form of the wider trial in Suzhou will be similar to the one that was carried out in Shenzhen in October, where about $1.5 million in digital yuan was given out to 50,000 residents as “red packets” via a lottery. Residents who won the lottery could spend the free digital yuan at any of the more than 3,000 stores that participated in the Shenzhen trial. The People’s Bank of China is all set to become the world’s first major nation to issue a central bank-backed digital currency.