China Modernization Plans Involve CBDC
25 Jan, 2024 ● Crypto News
The Shanghai Pudong New Area's modernization plan includes several initiatives for the digital yuan, China's central bank digital currency (CBDC).
The plan, detailed by the state-run Xinhua News Agency, is part of a five-year strategy by the Chinese Communist Party Central Committee and the State Council.
It aims to transform Pudong into an international hub with advanced trade facilities, streamlined customs processes, and enhanced supply chain management.
This includes new port facilities, free trade zones, and upgrades to the Shanghai Pudong International Airport.
The plan also involves establishing new educational and medical institutions with specialized intellectual property rights for research and development.
These institutions are expected to attract international talent, especially from countries involved in China's Belt & Road Initiative, through a special visa program.
The digital yuan is set to play a key role in this development, with the plan outlining its use in various fields like trade settlement, e-commerce, and carbon trading.
By 2027, the plan anticipates significant progress in institutional innovation and the establishment of a high-standard market system.
China is actively developing the digital yuan, with integrations in foreign banks and its use in gold and petroleum trading.
However, the Chinese government has also intensified its crackdown on cryptocurrencies, banning crypto mining and issuing warnings against stablecoins like Tether.
In the U.S., there has been strong political opposition to China's CBDC, with Senator Rick Scott introducing legislation to counter its progress.
Sources:
https://cointelegraph.com/news/digital-yuan-pilot-projects-planned-shanghai-development
https://twitter.com/Firecaptain16/status/1746000256511176769
