Buying cars in China using the country's digital currency

China began to use Central Bank Digital Currency (CBDC). , known as the "digital yuan", as collateral when purchasing a car. And according to For reports Local media: In early February, a pilot test was conducted in the Chinese city of Shenzhen that allows customers to pay for their cars using digital yuan. A number of customers are already purchasing their vehicles using this new system.

The experiment started in the Pingsham district, a densely populated area of ​​Shenzhen with a population of 400 thousand people. This is a partnership between the region's Market Supervision Administration and the Agricultural Bank of China. The experiment focuses on the advantage of the digital yuan that it contains a “smart lock” on payments that is not released until the car is delivered.

Digital Yuan to improve transparency and ease of transactions

The first group of pilot program participants deposited their money using the Agricultural Bank of China's Smart Payment and Peace of Mind system in early February. Now they are waiting for their cars to be delivered. The system will automatically distribute funds upon completion of delivery, ensuring a smooth flow of payments and adjusting the delivery process for vehicles that are in high demand in the market.

"When we buy these cars from authorized dealers, paying a large amount in advance is always a concern," said Mr. Wang, one of the project participants. "But with the digital yuan prepayment system, the service is guaranteed and the money is more secure."

The pilot project went beyond car purchases to launch a more comprehensive prepayment program in the Bingsham area. Particularly in the Longping Tian commercial area.

50% of sellers who accept prepayment have signed partnerships with Banks will switch to digital yuan When paying for food, education, training and other services.

It represents the use of the digital yuan as an advance payment for various services. Including the purchase of cars is an important step towards increasing transparency and convenience of financial transactions.

This system helps ensure consumer protection and facilitate the movement of money in the market, which opens the door for further development in the field of digital payments and the digital economy as a whole.