Chinese cities gives away $26.6M in Digital Yuan to drive adoption

Multiple Chinese cities have reportedly launched initiatives to give away digital yuan (e-CNY) worth over $26.6 million to drive consumption during the Spring Festival.

Authorities across China have doubled their efforts to increase Digital Yuan adoption and usage. In May 2022, Shenzhen, Guangzhou, and Xiong’an gifted their citizens roughly 90 million digital yuan in red packets to restart the economy due to Covid-19.

During the 2023 Spring Festival holidays, several Chinese cities launched roughly 200 activities and distributed nearly 180 million Digital Yuan (e-CNY) — worth over $26.6 million — in the form of subsidies and consumption coupons, Global Times reported.

Hangzhou gave each resident an 80 Yuan ($12) e-CNY voucher. The city spent 4 million Yuan (roughly $590,000) to promote holiday consumption.

Chinese e-commerce firm Meituan disclosed that the Digital Yuan given out by the Hangzhou government on its platform was taken up within 9 seconds.

In addition, the Shenzhen local government gave away about 100 million Yuan — worth $14.7 million in e-CNY — to subsidize costs for the catering industry.

The cities of Jinan and Lianyungang also issued coupons in the form of Digital Yuan to boost consumption.

As China ramps up efforts to promote the adoption of its e-CNY, Central Bank executive Mu Changchun said that the country would respect users’ privacy and protect their personal information.

The post Chinese cities gives away $26.6M in Digital Yuan to drive adoption appeared first on CryptoSlate.