NSC: "Digital yuan will not compete with WeChat Pay and Alipay"

Head of the Institute of Research of Digital Currency at NBK said, that digital yuan will work in parallel with the payment systems WeChat Pay and Alipay.

According to publication
South China Morning Post, Head of the Institute of Research of Digital Currency at NBK MU Chanchun (MU Changchun) said, that the system of electronic payments based on the digital currency of China (DCEP) will not compete with WeChat Pay and Alipay. At the event Bund Summit, Chanchun noted:

“These are different entities. Wechat и Alipay – These are wallets, And the digital yuan – This is money in the wallet ".

According to Kapronasia financial technology consultant Van Laylei (Wang Leilei), digital yuan will spread through the application, which consumers can use as a mobile wallet. She said, that participants in testing
Schanzhen digital yuan at the beginning of this month asked to download a special application for DCEP.

“If digital money is distributed through the application, some will can use them through it, and others will be able to transfer them to WeChat or Alipay. It depends on consumers and the scenario of use ", – Van said.

According to the head of the Institute of Research of Digital Currency at NBK, Fake wallets for digital yuan have already appeared. Van said, that ordinary users can be the goal of scammers. Consumers can be lured in fraudulent cryptocurrency schemes, who have nothing to do with the central bank.

Mu said, that a decrease in fraud will require coordination between different sides, which is instructed to bring digital currency to ordinary users. DCEP is currently working at two levels. On the First, the People’s Bank of China produces digital yuan, and on the second certain institutions, eg, Commercial banks, distribute digital currency among users.

“Connect the appointed operators and reduction of payment barriers will require the development of technical standards, Security standards, application and doing business ", – Mu said.

He also noted, that operators should work on the development of their own functions, including the creation of new payment and financial products. Mu emphasized the need for "centralized supervision" by the NBK, which will create a clear difference between digital yuan and private cryptocurrencies. According to him, Supervision will allow DCEP to “confront the pernicious influence of public cryptoactives and global stablecoins”.

Earlier in September, information appeared, that for the mass use of state cryptocurrency from the NBK can be released
hardware wallet. Now he is ready for the beginning of testing.

Source