- The city of Shenzhen in China will airdrop 30 million digital yuan to “jump-start consumer spending amid an economy hit by a pandemic.”
- Those interested must log in to the application of the product and service purchase platform, Meituan, and register for the incentive.
The arrival of cryptocurrencies completely changed the scenario of the economies as they were known. Their presence caused new terms and different strategies to begin to be implemented and divided people and governments.
Cryptocurrencies gained support from “traditionalists” and others, such as the Chinese government, were adamantly opposed to digital assets but not to the development of their own cryptocurrency.
China promotes the adoption of the Digital Yuan
To promote the adoption of its own CBDC, China has carried out various strategies such as a shopping festival or a lottery in which it draws 20 million digital yuan.
Now his latest strategy involves an airdrop by the government of the Chinese city of Shenzhen to “revive consumer spending amid an economy hit by a pandemic”as described by the medium Bitcoinist.
The airdrop will consist of 30 million yuan, which represents $4.5 million dollars and, together with the Shenzhen Municipal Department, the Bank of China, the Agricultural Bank of China, the Bank of Communications, the ICBC, the Construction Bank of China, Postal Savings Bank of China, Merchant Bank of China, and WeChat.
How will the airdrop take place?
This airdrop will work through a lottery program through red envelopes. In accordance with these delivered instructions, those interested must log in to the application of the platform for the purchase of products and services, meituanand register for the incentive.
The 30 million will not be for a single winner: participants will be able to achieve 88, 100 or 128 yuan.
Shenzhen, the Silicon Valley of China
Shenzhen, with 12.52 million inhabitants and adjacent to Hong Kong, is the country’s great manufacturing center. The metropolis is named after China’s Silicon Valley and is one of the most prosperous areas of the Asian giant. The digital yuan is quite accepted: municipal taxes can be paid.
Unlike what happens in countries where Bitcoin is already legal tender, such as El Salvador or the Central African Republic, where not all shops/services accept BTC, the digital yuan is “popular” in China. The government announces that there are already more than 15,000 stores that accept it.
What does the United States think about the digital yuan?
The United States is not behind a virtual dollar at the moment, although it does want to curb the possibility of China flooding the market. According to various reports, a US bill “hopefully bans the digital yuan from making purchases in app stores.” The argument is that this could affect national and economic security.
China sees (and is part of) the digital revolution. The new application of its currency and the distribution of the airdrop is one more example of the government’s commitment to what the economic future will be.
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