The bank will have joined the CBDC pilot of the digital yuan in China and will offer its clients multiple central bank digital currency services.
Global bank Standard Chartered has announced it has joined China’s CBDC pilot program of the digital yuan. It will provide central bank digital currency services to its clients for the e-CNY and participate in its trials. The bank will likely use the opportunity to diversify its services and explore CBDC applications and benefits in the future.
Xiaolei Zhang, the President of the bank’s China Division, said, “As an international bank rooted in the Chinese market for 165 years, Standard Chartered is optimistic about the development prospects of digital Renminbi.” During the CBDC pilot for the digital yuan, Standard Chartered Bank will explore cross-border payments, supply chain financing, and trade financing.
The bank will enable its clients to access the interconnection platform of the digital yuan and use it for redemption and recharging. Moreover, Standard Chartered China has partnered with City Bank Clearing Services Co. for the new feature for its users. A multinational bank like Standard Chartered joining the CBDC pilot could be a big adoption boost for the digital yuan. The government of China has actively tried to promote it earlier in 2023 with similar initiatives.
On the other hand, Standard Chartered had prepared a white paper with PwC earlier. It highlighted the use cases of programmable CBDCs. The paper focused on the Greater Bay Area of the country and its potential with digital currencies.
Meanwhile, the digital yuan app was also updated with Visa and Mastercard options in 2023 for easier adoption. The update could be a huge benefit as tourists could load their digital yuan wallets with the two options.
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