Residents of the Chinese city of Suzhou will test the ‘tap’ function on smartphones during the forthcoming digital yuan (DCEP) trials, according to Nikkei Asia.
With a tap of their smartphones, more than 1,000 participants will be able to transfer DCEP to one another offline, recreating the cash-transfer experience.
The aim of the initiative is to simplify and make interaction with the national digital currency as convenient as possible for Chinese citizens, widening the range of potential use cases.
The testing of the new capability will be available on Huawei devices and will take place as part of the DCEP distribution among Suzhou residents on December 12. The red-envelope lottery will be timed to the year-end shopping season.
The distribution of the digital yuan in Suzhou will mirror Shenzhen’s experience, where 50,000 residents of the city became holders.
The 100,000 lucky recipients who received 200 yuan each in the airdrop (about $31) will be able to spend them, including at the second-largest online retailer in China, JD.com. The publication also mentions the involvement of ride-hailing aggregator DiDi Chuxing.
The rumors of such plans first surfaced in December 2019. In April 2020, the People’s Bank of China confirmed the start of digital yuan (DCEP) trials in four cities, including Suzhou. It was reported that 19 shops and restaurants would participate, including outlets of McDonald’s and Starbucks.
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