According to local media outlet Sohu.com, on Tuesday, The Bank of China has announced a new program to connect primary school education with smart contracts. In a combined partnership with local education and financial authorities, parents residing in the city of Chengdu, located in China’s Sichuan province, will be able to enroll their children in after-school classes or training courses using the central bank’s digital yuan .
In the pilot test, parents start by paying a deposit to a private educational institution for a series of classes. A smart contract then binds each class proportionally to the deposit. In this way, if your children do not attend a class, the payment in CNY is automatically returned to your account through the smart contract. The Bank of China stated:
“The program seeks to explore the benefits of digital yuan smart contracts. One of the possible use cases is the replacement of the role of regulatory authorities to oversee payment transactions between parents and private educational institutes. Another is the enhancing transaction liquidity through non-existent transaction fees built into the design of the digital yuan.”
Earlier, the Bank of China launched a digital yuan airdrop program for residents of the city of Chongqing as part of a local incentive to reduce carbon emissions. Users who receive part of the airdrop can spend their funds on scooter rides, meal deliveries without packaged utensils, recyclable shopping bags, and public transportation tickets. More than 4,567,000 businesses across China already accept the digital yuan as a means of payment, in line with the country’s strategy to digitize the economy and stimulate it with the help of emerging technologies such as blockchain.
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