Public sector workers in an eastern Chinese city are set to be paid fully in digital yuan, as the country makes a significant push to popularize the currency.
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- Changshu, a city of 1.7 million residents, was already experimenting with the digital yuan, a form of money that exists only online and is managed and backed by China’s central bank.
- Since last October, Changshu has been paying the transit subsidies for some government employees in digital yuan.
- China is already on the verge of becoming a cashless society, but the vast majority of electronic transactions happen on privately owned apps (Alipay and WeChat Pay), outside of the immediate purview of the state.
- But the currency has struggled to gain traction.
- Analysts have previously cited concerns about the reach of the government’s power and a lack of incentives as reasons for the lack of enthusiasm.
https://www.cnn.com/2023/04/24/economy/china-digital-yuan-government-salary-intl-hnk/index.html