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Starting from 1/1/2026, China will allow banks to pay interest on the digital renminbi (e-CNY) held by the public.
This means that e-CNY is no longer just a payment currency but will resemble a bank deposit, earning interest and protected like regular deposits. After years of testing, e-CNY still struggles to compete with WeChat Pay and Alipay, so paying interest is seen as a way to attract users back.
China is also promoting the use of e-CNY across borders, despite still banning domestic crypto transactions.
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