The former People’s Bank of China (PBoC) governor, Zhou Xiaochuan, stated on a particular conference this past Sunday that the highly-awaited digital yuan is not explicitly designed to replace any presently-used fiat currencies.
Xiaochuan clarified that the upcoming Chinese central bank digital currency (CBDC) is intended to work alongside fiat currencies and not to go against it, as most people presume.
The former PBoC governor adds that the digital yuan – sometimes referred to as digital currency electronic payment (DCEP) – is purely developed with the vision of transforming cross-border investment and trade for the better.
Xiaochuan then seemingly threw a shade on the controversial Facebook crypto project, formerly referred to as Libra, by stating that the digital yuan isn’t like the Libra, which actively tries to replace present currencies.
