China wants to pay public servants in digital yuan as Beijing is trying to convince the public about benefits of the digitization, the South China Morning Post (SCMP) reports, citing local media.
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As per the report, Changshu city will start paying public servants starting next month. The move will reportedly affect not only schoolteachers, medical staff, but also journalists for state media outlets. The SCMP notes Changshu has been piloting digital yuan since June last year. So far the city processed in digital yuan over 2.5 million yuan (~$363,000) between 4,900 public servants.
In December last year, Xie Ping, a former official of the People's Bank of China (PBoC), noted China's digital yuan gained almost no interest from citizens as the cumulative circulation of the digital currency in the two years of the trial reached only $14 billion. Xie emphasized that the figure shows that "usage has been low, highly inactive" and that the "results are not ideal."
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