The Chinese central bank is shifting its focus to an ongoing pilot project to create a national digital currency, with the participation of two large private banks in the project.
According to Monday’s Bloomberg report, MYbank and WeBank will help the People’s Bank of China expand users’ access to ongoing pilot projects for the central bank’s digital currency, the digital yuan.
As part of the integration, MYbank will soon be introduced to the RMB digital PBoC app, people familiar with the issue told Bloomberg.
MYbank and WeBank e-wallets are said to have exactly the same functionality as the six government lenders involved in the lawsuit. As previously reported, the National Bank of Kuwait has partnered with state-owned banks such as the Bank of China, the China Construction Bank, the Industrial and Commercial Bank of China and the Agricultural Bank of China in the project.
A spokesperson for MYbank told Bloomberg that the bank “will regularly work to enhance litigation under the Public PBoC Scheme”. MYbank and WeBank did not immediately respond to Cointelegraph’s request for comment.
As Cointelegraph previously reported, WeBank is the largest digital bank in China, serving more than 200 million customers as of May 2020. The bank has been actively experimenting with blockchain technology in recent years and has become one of the largest blockchain patent portfolios in the world. In 2019, Chinese internet giant Tencent is reported to be WeBank’s largest shareholder and owns 30% of the shares.
MYbank is a large private online commercial bank founded by Alibaba and its subsidiary Ant Financial in 2015 that specializes in lending to small and medium businesses. Alibaba founder Jack Ma is MYbank’s largest shareholder and will hold 30% of the shares.
Last week, the state-owned Commercial Bank of China, the China Postal Savings Bank, launched a biometric hardware wallet store to facilitate access to CBDC.