China’s CBDC project receives a new major supporter

By: Ali Raza
Ali Raza
Ali plays a key role in the cryptocurrency news team. He loves travelling during his spare time and enjoys… read more.
on Jul 8, 2020
  • China's digital yuan project recently received a new partner and supporter, DiDi.
  • DiDi is the country's ride-hailing giant that services over half a billion people around the world.
  • While the development of the CBDC seems to be at its end, there is still no official launch date.

China’s national cryptocurrency, the so-called digital yuan, made quite a stir in the entire world back when it was first announced. Since then, the project caused many other countries’ central banks to start investigating crypto. In some cases, banks even started developing their own Central Bank Digital Currencies (CBDCs).

In months that followed, China continued the development of its project, and it even started conducting live tests in several locations. As the tests continue, the country’s crypto project seems to be gaining more and more support.

Ride-hailing giant jumps on the bandwagon

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The newest supporter of China’s crypto project seems to be DiDi Chuxing, the country’s own ride-hailing giant, which is also the second-highest-valued unicorn startup in the world.

The company recently shared the announcement, stating that it entered into a strategic partnership with the People Bank of China’s Digital Currency Research Institute.

By joining forces with the country’s central bank, DiDi plans to create a CBDC-based solution to its transportation network. Of course, it stressed that this would be done “in accordance with rigorous safety, security and governance standards.”

The company’s involvement could have a major impact on the coin’s adoption, especially due to the fact that it allegedly has over 550 million users, spread across South America, Australia, and, of course, Asia. The so-called ‘China’s Uber’ mostly deals with public transportation, as well as food delivery.

Digital yuan development is reaching its end

Meanwhile, the development of digital yuan is seemingly approaching its end. The central bank National Council for Social Security Fund’s former vice-chair, wang Zhongmin, said that the project’s backend architecture is finished.

For now, however, China still did not announce the coin’s official launch. It is unknown whether there are still some details that need to be taken care of, or if it is waiting for the best time to roll out the coin, and what time that might be.

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