The first cities to assess the new payment system will be Shenzhen and Suzhou.
The People’s Bank of China, in collaboration with private banks and telecommunication companies, will start testing the new digital system later this year. To this end, special SIM cards with built-in digital wallets and multiple applications for using cryptocurrency will be developed.
The new system is scheduled to be implemented in two stages covering the cities of Shenzhen and Suzhou. In order to be able to use the new services, residents of these cities will have to register with financial institutions.
China is not the only country developing digital payment systems. Similar plans will be implemented in 2020 in France. And in another year, a single payment system will be rolled out throughout the European Union.