Sugar branch of French banking giant BNP Paribas announced it would launch a digital yuan In another boost for wallet management platform, China’s central bank digital currency (cbdc,
Per Shanghai Securities NetBNP Paribas China will team up with state-owned commercial bank Bank of China for the project.
The French bank will launch a platform that will be linked to the Bank of China’s own digital yuan ecosystem.
This will allow the former to provide e-CNY services to its corporate customers.
These include wallet opening and management services as well as token conversion and spending options.
BNP Paribas China said it and the state-owned bank would “jointly explore” other digital yuan-related business routes.
According to the Bank of China, these include offline digital yuan payments, as well as supply chain finance, smart contracts and cross-border settlements.
BNP Paribas Joins China Digital Yuan Pilot: What Are Analysts Saying?
The central People’s Bank of China (PBoC) will see this announcement as a major coup.
The move was praised in the Chinese media.
The Paper (via sina), quoted Sun Yang, a senior fintech researcher at Jiangsu Suning Bank, as saying that the deal “reflects the expansion of the digital yuan’s influence in the international market.”
Sun Yang said of the deal:
,[This is] An important milestone for the Chinese Yuan. The participation of foreign banks in the digital yuan wallet space could open up conditions for the internationalization of the yuan. This can provide more tools for overseas financial users. It can facilitate cross-border payments between China and other countries.
Pan Helin, head of the Digital Economics and Financial Innovation Research Center at Zhejiang University International Business School, said foreign banks participating in the CBDC pilot will be able to provide more cross-border tools to foreign-based players. Payment Location.
And this, Pan said, could in turn “open up new opportunities for the internationalization of the yuan”.
Development. It comes on the back of revelations last month that Argentina would begin trading with China in CNY, ousting the USD in the process.
Earlier this week, Hebei province launched an effort to speed up digital yuan adopted by Issuance of Resident Discount Coupons,
The project is being operated in conjunction with another state-owned commercial bank, the Bank of Communications.
