Beijing To Accelerate The Implementation of Digital RMB in The 2022 Winter Olympics
With less than a year left until the 2022 Winter Olympics in Beijing, China has been fast-tracking the development of all of the technology it plans on implementing during the event. Blockchain technology has been, so far, the biggest endeavor in China, with local governments across the country running extensive tests of the upcoming digital yuan. One of the main reasons behind the heavy testing of the digital yuan, aside from competing with other central bank digital currencies (CBDCs), is its planned use during the Olympics.
A source from the Beijing Municipal Science and Technology Commission said that the city of Beijing has drastically accelerated its technology development. The source said that the “Winter Olympics Science and Technology Project,” a massive, state-wide effort to develop third-generation technology that will support the event, has been fast-tracked to promote the application of the digital yuan in the Winter Olympics.
The biggest development effort will come from two major Chinese technology institutions—the Beijing Microchip Blockchain and Edge Computing Research Insitute and the Digital Currency Research Institute of the People’s Bank of China. The two institutions recently signed a strategic cooperation agreement, where they promised to jointly promote the application of the digital yuan. Sources have shown that the two will promote the use of the digital yuan on China’s first independently controllable blockchain software and hardware technology system called the Chang’an Chain.
China has long been investing in efforts to make blockchain technology the base information infrastructure for global data transactions, currency issuance, financial settlement, international trade, government affairs, and every-day transactions. The Chang’an Chain was officially released on January 27th in Beijing, offering unprecedented control, flexible assembly, excellent hardware and software integration, open-sourced code, and auditable transparency. What makes the blockchain unique is the fact that it consists of more than 10 different core modules, such as quantum encryption, governable pipeline consensus, and hybrid slice storage. All of these modules are independently developed and deployed on the blockchain.
Just as the Chang’an Chain was officially launched, 27 different institutions in the country established the Chang’an Chain Ecological Alliance. The institutions in the alliance include both the Microchip Institute and the People’s Bank of China’s Institute of Digital Research. They have announced plans to combine the construction of the Chang’an Chain Ecological Alliance with the development of the digital yuan. This will enable the digital yuan to be used on the Chang’an Chain to explore new transaction and business models that can be applied in China’s future digital economy.
The country plans on building a vast financial infrastructure on the Chang’an Chain, which will provide the foundation for national ministries, large centralized enterprises, and financial institutions. The Beijing Municipal Science and Technology Commission said that the city will focus on blockchain technology research in the following months and invest resources to build a national science and technology strategic force that will force innovation in the blockchain field.
Priyeshu is a software engineer who is passionate about machine learning and blockchain technology. He built his first digital marketing startup as a teenager and worked with multiple Fortune 500 companies. He's an alumni from mass-transit app Ola and holds a degree in computer science engineering.
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