#CryptoCurrency / Hong Kong in Talks With PBOC on Digital Yuan Trial for Cross-Border Payments

Hong Kong Monetary Authority (HKMA), the city’s central banking institution, said it is working with the People’s Bank of China (PBOC) to test digital yuan use cases.

China has been mostly focused on domestic use cases for its national virtual currency Digital Currency, Electronic Payment (DC/EP) facilitating consumers’ retail payments. The adoption of DC/EP in Hong Kong, one of the major financial hubs in Asia, could be part of its efforts to enhance the renminbi as a payments currency in the global financial system.

The People’s Bank of China, one of the four major state-owned commercial banks, launched a lottery in October. It gave away $1.5 million worth of PBOC-issued digital yuan to encourage consumers to download the digital wallet and use e-CNY to make payments…