A group of Chinese companies are preparing to establish a “digital yuan industrial park” in the city of Shenzhen, signaling further advancements in the adoption of Central Bank Digital Currency (CBDC). The park’s inaugural ceremony took place on October 11 at the Luohu Digital Yuan Application Demonstration Center.
First Wave of Companies Moving In
Nine companies from various sectors recently signed agreements to become the initial occupants of the industrial park. These companies are recognized as the pioneers in embracing the digital yuan. Additional businesses are expected to join the park in the coming months, demonstrating the growing interest in CBDC adoption.
Shu Yumin, the Communist Party Secretary of the Shenzhen Financial Supervision Bureau, emphasized the significance of this project and its contribution to the development and expansion of the e-CNY pilot program. Shu also stated that this initiative would position Shenzhen as a global financial technology center.
Focusing on CBDC Innovations
The companies based in the digital yuan industrial park will be tasked with working on innovations related to CBDC adoption. Notably, the Shenzhen branches of the country’s four largest state-run banks will also contribute to the development and progress of the industrial park.
Shenzhen, recognized as a prominent hub for technology and innovation, has been at the forefront of the digital yuan pilot since 2020. The companies moving into the park include Hengbao, a manufacturer of SIM cards and smartcards, Tianyu Information, a specialist in AI, POS terminals, and blockchain technology, as well as Lakala, a payments firm with collaborations with major retailers.
Furthermore, the initial group of companies joining the park includes other stock market-listed entities such as security providers and cloud computing specialists, reaffirming the diversity and specialization of businesses in this ecosystem.
Recent developments in digital yuan adoption have been witnessed in other cities as well. Sanya, for example, recently announced its first corporate digital yuan loan deal, while a state-owned firm in Huizhou reported successful payment of salaries using CBDC tokens.
“The establishment of the digital yuan industrial park in Shenzhen highlights the unwavering commitment of Chinese companies towards embracing CBDC and promoting its widespread adoption.” – National Finance Association
