Hong Kong Will Test e-CNY as a Means of Payment

China’s central bank, the People’s Bank of China, is slowly expanding the scope of testing for the country’s digital currency (CBDC).

According to Bloomberg, Hong Kong has officially joined in on the project to digitize their payment system this week. Citizens of the city will now have the opportunity to open a digital wallet and add tokens to it. This can be done through various banks, including the Bank of China.

These wallets can then be used to make purchases and payments for goods and services, utilizing the digital yuan. Participants in the testing of the digital currency will be able to link their mobile phone numbers to their digital wallets and top them up using the local FPS system.

Eddie Yue, the head of the Hong Kong Monetary Authority, confirmed the city’s involvement in the digital yuan testing and also emphasized that the CBDC can be used not only in Hong Kong, but also in mainland China.

Even tourists from China will have access to using the digital currency as a form of payment when they travel to Hong Kong. However, there will be a limit of 50,000 yuan for transactions made with the CBDC for residents of the city.