Chinese cities are stepping up efforts to promote the adoption of the digital yuan through giveaways and discount vouchers, as part of the People’s Bank of China’s (PBoC) strategy. The PBoC’s Hebei branch and local government authorities in the province have announced plans to distribute up to $2.8 million worth of digital yuan tokens and vouchers this month, as reported by the Hebei News Network.
The Two-Phase Giveaway
The giveaway will be conducted in two phases, allowing residents to receive digital yuan coins and vouchers to spend at over 50,000 participating merchants. In order to participate, individuals must open or hold digital yuan wallets with commercial banks or the Alipay e-pay platform, and register their interest. Winners will be selected in a lucky draw and will receive their coins in red digital envelopes, with each envelope containing up to $28.
Expanding Adoption in Other Cities
The city of Suzhou has already implemented similar incentives, focusing on e-CNY discount vouchers. These vouchers offer up to 80% discounts for purchases made with the digital yuan at local stores. On December 6, Suzhou issued vouchers worth $620,000, with different types of vouchers providing a maximum of $28 off purchases exceeding $70. The initiative was carried out in collaboration with China Construction Bank.
The city of Jinan is also promoting the usage of the digital yuan through giveaways. The Jinan Municipal Government, in partnership with Qilu Bank, is distributing digital CNY subsidies to owners of low-emission vehicles. Eligible drivers have the opportunity to receive up to $704 worth of CBDC coins. Meanwhile, the Yantian District in Shenzhen offered e-CNY coins to couples who registered their marriages before the end of the year.
“These initiatives serve as a testament to China’s commitment towards accelerating the adoption of the digital yuan. By incentivizing individuals to use the digital currency through giveaways and discount vouchers, the government is promoting greater usage and familiarity among the population.”
– Chinese Financial Analyst
