Topic: Chinese city now accepts CBDC payments for bus rides (Read 462 times)

China is increasingly seeking to control its citizens. Now they will have accurate information about how, when and where a person goes. One of the properties of state-owned cryptocurrencies is that they can be blocked from access. Thus, any citizen can be deprived, in one fell swoop, of the ability to travel by any means of transport

Yes good for China and its communist government. But what impact it holds on the economy as a whole? It definitely provides convenience to the users. It save government's money printing cost. But the most important factor here is that the users loose their financial privacy.

Today it is applicable for bus ride only but tomorrow it will be mandated for every types of transactions. That day is not far from becoming a reality. So if you want to cheer on that, you are welcome. I won't!

Absolutely correct, the Chinese government has just found a more enhanced way to control the citizens financially and such control is always the most crucial. From the control of fiat to cbdc killing the hope of being financially free in China.
There is no doubt this will be very successful knowing how strick the government can be. I also hope this won't have such effect in other countries, at least people still have the right to chose unlike in China.

If it's CCP, they can implement any new method of payment that they have and everyone is gonna to obliged and comply.

I think they're the first country to start using their own CBDC. While the others are still on the development process, they are so far the very first to apply it to their own people.

But, there's nothing that we should worry about it if they start using their own CBDC. That's the use case of it and made for their own people.

I always notice these particular Chinese threads popping up now and then where they make it seem like China is very important in the crypto world or something when the fact of the matter is that they aren't.

They made it clear on several occasions that they despise cryptocurrencies like BTC etc and have tried banning them again and again only to fail in an embarassing manner.

Majority of the crypto community don't care about their CBDCs and their influence over the crypto world.

Well, the electronic payment option would gradually be changed onto CBDC in one way or the other. A payment system that is facilitated by companies has the edge due to its flexibility and market pressures of technological innovation, while on the other hand, regulation had to catch up with technological improvements.

And here we are right now in the time of governments starting to implement the electronic payment system on their own. Speaking about China, there is nothing unexpected about the news. The authority will surely utilize this kind of technology. The problem is, does the other world, did not vision a similar approach? Or they just implemented such kind of system without being frank that the underlying payment mechanism is tightly related to CBDC? I guess we have to start scrutinising how it will end up going, generally.

Europe and the U.S. residents hardly understand CBDC's and equate it to crypto currency, so expect little resistance. The Americans had nearly all their freedoms stomped on after 9/11 when the Patriot Act was passed. It essentially allowed government agencies to surveil U.S. citizens and international persons of interest without being subject to probable cause warrants. Seems worthy of outrage, you would assume.

The Biden White House has spent some portion of the U.S. budget to research CBDC's and develop regulatory framework behind it, and hardly any U.S. media publications have latched onto the matter. The Chinese have no choice but to adhere to CDBC's. Europe and the U.S. will voluntarily adhere to them out of ignorance.

This is not politics, the currency has a vibe and relationship with the economy and so far, CBDC has been trending on this board for several reasons and this one is just the latest development(underdevelopment to me  ), so I don't think this thread should have been in Politics.
CBDC is no different from the commercial apps that we have, they are just defined by a uniform body and mandated and legalized across the country and the way I'm even seeing the used case here, a time will come when the commercial banks will start complaining that the government central bank is not letting them get customers because people now have what they can spend anywhere and more faster than the commercial bank apps. All this will come back and n hurt them and but Bitcoin will always win because Bitcoin is decentralized and its a global currency for everyone.

So what they are doing is: publishing centralised currency through more stricter means and authorities. Now that’s funny. Obviously it’s a dictatorship so people will follow whatever their kings says and point outs. They will have no option but to use centralised digital currency and they will slowly taken away from the decentralised crypto currencies. Yeah, that’s what they did since the beginning. Remembered the era of Chinese miners? It was hot as pan and went too far but at the end in the name of electricity burden they banned the crypto entirely. They got away with the reasons and going even stricter till date.

Are you forgetting that this is about China? People in a country where communists are in power are not asked if they want something or not, and anyone who thinks otherwise is an enemy of the state. A country that censors the internet and has the most oversight of people through massive surveillance methods certainly has no problem with something as simple as CBDC.

Besides, they've been testing it for years on tens of millions of people in different provinces, I've never heard anyone complain about it.

The rate of adoption and the incentives used in Jinan are impressive, but one has to ask if the locals are happy with the change. After all, the goverment's digital currency could be seen as an invasion of privacy due to the high level of oversight and control it permits. Where, though, is the discussion on this?

My other worry is that this will hasten the exclusion of the unbanked and the technologically inept. Do you have a strategy to deal with this? One cannot ignore the geopolitics at play here, even as it is interesting to see the cross-border applications of the digital yuan. Whether or not other countries will be okay with the dominance of a digital currency controlled by another sovereign state is an interesting subject

China tuns a controversial government and don't like go give its citizen privacy,that is why I am not surprised that the government has made CBDC and accepting it for transport. It is their own digital Yuan and not a crpytocurrency. This will enable the government have total access with your daily spending and income to monitor your financial life. This has nothing to do with bitcoin because it is a centralized currency,CBDC is a deeper entrapment on citizens to the government compared to fiat. The president of China is limiting the freedom of his citizen for him to take total control of their lives gradually.

Governments need CBDC because it provides them with many solutions, now they can control the economy more strictly, they do not need commercial banks, they can impose taxes easily, they can pay services without your permission and you will not need much to redistribute liquidity, salaries and everything in the country. Therefore, its adoption will be rapid once an infrastructure is developed that processes all these payments quickly and with near-zero fees.

CBDC is not a cryptocurrency and it is worse than cash in many aspects.

The Chinese government have been long talking positive about CBDC for close to 3 years so if they now started to implement their digital yuan in their road transport I won't be surprised and that means they are gradually going to test it in another sector. China wants to dominate their people in every aspect of their life not to consider anything outside their development. They want to grow the yuan to the exclusion of any other currency. It is good for their economy actually because if you are dependent in yourself, you are likely to have a very formidable economy. From the beginning of the cryptocurrency movement, china have been back and forth on it and let us see if this new wave of crypto regulation like MICA will be bought by china if they will replicate something like that or put their people totally out from cryptocurrency opportunities.

I can refer to China as a country that always strives to be at the forefront in various promising fields. Currently, we see the Central Bank Digital Currency (CBDC) as a government-controlled currency, which may not be favored by Bitcoin maximalists like us. We're uncertain about what the future holds when CBDC truly becomes a new trend in the financial world.

All eyes will be on Blockchain technology, and it's not unlikely that a small percentage will take an interest in decentralized blockchain technology. Isn't this a positive aspect that Bitcoin maximalists can gain? Although it's highly improbable to adopt a decentralized system at the governmental level of a country.

I have already read the news that China has introduced CBDC payment system for bus rides in their country. The full meaning of CBDC is Central Bank Digital Currency. This payment system is not supposed to match Bitcoin. And this news is entirely a news of their country's domestic banking system. From what I know about this payment system, this payment system may not be very popular with Chinese citizens. All of a sudden we have seen China taking some such decisions. It is not clear what exactly they want to do by taking such a decision.

I would expect more resistance in the US and certain parts of the EU, such as Germany, which is a very cash-intensive country. I expect implementation to be much slower, due to inefficient administrations, and adoption much slower as well.


I would be surprised if they have implemented that already. The logical, and Machiavellian, thing to do is to wait until everyone is using CBDCs to start programming them with the controversial features, such as expiration.

Crazy that this only started this year. China had been piloting CBDC since 2020, it seem very a very slow integration to their bus system if you know how good Chinese are in developing a system. 

US had been piloting AFAIK too which Biden is about to give universal compensation since more companies are already signing up on their CBDC.

China is always pretty wild on their policy regarding digital money (including crypto), one day they ban it one day the make some breakthrough. Honestly tho, I am not being sarcastic here, but I really don't understand what is the purpose of CBDC. When a government digitalize their Bank, like when people are able to send some money through internet Banking, isn't it like make the CBDC redundant. It's the same centralized currency, people can send them across the nation, without traveling only moving some value and number throughout the internet.

It's relatively easier for China to implement whatever plans the state has because of the kind of government they have. Resistance is very minimal and it could easily be addressed. Critics and other opponents of the measure could be silenced effortlessly.

While this digital currency is obviously an attack against privacy and freedom, to a people who are already deprived of it to a certain extent, nothing anymore matters.

I'm curious, is the CBDC in use the version that has an expiration date?

In Asia we know that China has always been at the forefront of every step they take in their approach and economic progress. China always does not want to lose in global economic competition. and included in the adoption of the Central Bank digital financial system which they call CBDC. And actually not only on buses but in other ways China has also been testing their Digital Yuan currency CBDC. and so far they seem to be succeeding in the experiment.

it is up to the people if they will use it or not. though learning how to use cbdc may give them some convenience, but their privacy is on the line. so they need to think about the possible repercussiom if they will heavily use their cbdc in their payment method. their govt will have more eyes on their life now. but hopefully this move will give these people a good hint why it is still good to use decentralised coins like BTC

Chinese accept CBDB for bus rides? Why should we care? If I check it on news, it will be the digital Yuan and nothing more. Digital Yaun is just the CBDC that was created in China to be spent by the people if China, it is not bitcoin or crypto.

I do not see what is good in Chinese accepts Yuan. Even in any part of the country of the world, fiat is fiat. Yaun and digital yaun, no difference.

China has found another way to exert more control on the financial system within the country. I expect it will be successful and with the incentive in place people would use the CBDC as an alternative to the Yuan.

I personally do not think it will have similar success in other countries where there is more freedom and cryptocurrencies are not banned.

With China bringing their CBDC to life and making it work, it seems like a great move that other countries might also want to look upon and take such a step in order to make their CBDC work too. Since China is among the five banks that have successfully launched CBDC,
 
It's their discovery; it's their country; and it's also their problem. Implementing a centralized currency and making their own local currency digital is actually a good development for them. The only place where I'm finding an issue with them is trying to impose it on all their civil servants as a means of paying them their salary. That will be a little harsh; they should allow their people to choose what's best for them and what payment option they prefer best. It's something new, and not everyone will have full knowledge of how to use it, how to spend it, and all of that. Since it was just included as a payment option in the transportation industry, they should also do the same with civil servants, allowing them to make their own choices and maybe giving a little convincing bonus in order to lure most people in, just as they did with the discount given to those paying with the CBDC for their ride.

Yes, they started implementing this nonsense in China.

China is basically a centralized authoritarian country and CBDC will increase the centralization of the government terribly, which will be a huge burden on the citizens because all their transactions will be under the direct control of the government.

This should be placed in somewhere else then altcoins. Connecting CBDCs (especially China's version) with cryptocurrencies is quite misleading. It's more like cautionary tale for /Economics or /Politics & Society

Later they will declare CBDC as mandatory, only way to pay anything, but before that they need to provide education and possibility to use it for all citizens. And that's going to be a massive operation that takes some time.

What I'm more interested in is the use of their CBDC in cross-border for their international trades. The belt and road initiative connecting various countries in Asia, Africa and Europe seems to be progressing well so I can see how digital yuan could be quickly adapted.

I think this topic belongs on the Economics section more than here because it's not about Bitcoin.
I'm not surprised that China's encouraging people to use their CBDC because it's a way of performing even more control over citizens than they normally do. These transactions are more traceable, while giving people the illusion that they're using something similar to cryptocurrencies. Fare discounts are probably a good way to promote a CBDC, but I hope people will be careful with using it. Surveillance is already too much in China even without a CBDC.

I hope you understand that CBDC is not cryptocurrency not to talk about having something related to bitcoin, this discussion is what you would have best post the thread on politics and society board or economics board where their could be proper discussions on the subject matter, this is bitcoin discussion board and CBDC is nothing but a digital version of fiat currency owned and controlled by the government.

Jinan, the capital of eastern China’s Shandong Province, has started encouraging the adoption of the country’s central bank digital currency (CBDC) by introducing digital yuan payments across all its bus routes.

In its pilot phase, the city tested the introduction of CBDC payments on two bus lines. Following the trial period, the city has announced that it has implemented the new payment method for its entire bus network.

Local media outlet Shunwang-Jinan Daily recently reported that the city of Jinan has updated all its card readers and bus route software to allow passengers to pay using the county’s CBDC.

The city is also incentivizing the use of the digital yuan by giving fare discounts to passengers who opt for the CBDC payment method. According to the announcement, each person could get up to two discounted rides per day and a maximum of six discounted rides in a month if they choose to pay with the digital yuan.

The move is part of a broader push to promote the adoption of the digital yuan in China. On April 23, the Chinese city of Changshu announced it would begin paying civil servant salaries with the digital yuan. The announcement noted that all levels of personnel in public service, public institutions and state-owned units would be paid in the country’s CBDC from May.

Apart from bus rides and civil servant salaries, the country has also implemented its CBDC for its Belt and Road initiative and cross-border trades. On April 24, a plan to promote the CBDC in cross-border trade was issued in the Chinese city of Xuzhou. The city serves as a departure point for trains carrying goods to Europe.

Meanwhile, French bank BNP Paribas has also recently partnered with the Bank of China (BOC) to promote the use of the digital yuan. On May 5, local media outlet the South China Morning Post reported that the partnership would allow BNP Paribas’ corporate clients to connect with BOC’s system, enabling the use of the digital yuan for real-time transactions.

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