China’s digital currency

In this episode, Dr Oriol Caudevilla discusses central bank digital currencies (CBDCs), how they are different to cryptocurrencies, the development of China’s digital yuan and its implications. Last April, the Chinese Government announced the starting of the tests of the country’s CBDC, DCEP (Digital Currency Electronic Payment) or Digital Yuan, in four major cities. In August, the Ministry of Commerce announced that a pilot run of the country’s CBDC would begin in several new areas, the Greater Bay Area among them, which includes Hong Kong and Macau. According to the Bank of International Settlements (BIS) in early 2020, 80% of Central Banks in the world are currently working on CBDCs, but Asia seems to be the place where CBDCs arouse more interest. Dr Caudevilla is Chief Strategy Officer at ScallopX, Management Consultant at AirHelp and Advisor for a Hong Kong-based FinTech company, ixFintech, among other roles.