People’s Bank of China Issues Digital Currency That Guarantees Protection of Personal Data

Yuan Digital E-CNY

KANALCOIN NEWS – In a virtual event for the 30th anniversary of the Bank of Finland, Governor of the People’s Bank of China, Gang Yi, told a little about the development of digital currency in the Central Bank of China.

China’s central bank currency or CBDC known as digital yuan or e-CNY pays great attention to the security of customers’ personal data.

As reported in the cointelegraph, Gang Yi stated at the conference that:

“We have adopted the principle of anonymity for small transactions related to digital yuan and will only step in to regulate by law for large transactions. When it comes to personal data collection, we only try to collect what is necessary and the minimum of what is legally required, which is far less than today’s electronic payment applications.” said Gang Yi.

According to him, the People’s Bank of China has adopted the principle of anonymous or anonymous which will not reveal the identity of customers in small transactions when launching digital yuan.

Identity may only be given when a customer makes a large transaction, and it will still be ensured that it is still under regulatory signs in China.

Gang mentioned that the personal information extracted for the use of the digital yuan was only about things that were important and really needed in conducting transactions.

This information is still far less than that extracted by digital payment applications (e-wallet).

Although the information obtained by digital yuan managers is only a little, the Chinese people still ensure that the storage and use of personal information will be carried out very strictly.

The e-CNY manager will never provide customer personal information to any party, unless otherwise stipulated by the Law in China.

This is getting stronger after being supported by several laws on personal data protection issued by the Chinese government in recent years.

With such a system, the People’s Bank of China urges the public to use e-CNY instead of other digital wallets.

This is because the background of the launch of the Chinese central bank’s digital currency is none other than to provide protection to the people.

The hope is that there will be no more misuse of personal data based on digital payment applications in the bamboo curtain country.

After launch, e-CNY users have grown rapidly and surpassed $9.7 billion in transactions in October 2021.

With the rapid development of innovation, Gang then stated that the PboC is ready to help central banks in other countries.

The People’s Bank of China paved the way for cooperation with various central banks in the world on the design of digital currencies.

Several countries that have collaborated with the People’s Bank of China include the Bank for International Settlements, the Bank of Thailand, the Central Bank of the United Arab Emirates, and the Hong Kong Monetary Authority.

In addition, the People’s Bank of China is also opening discussions with the European Central Bank on the design of the central bank’s digital currency.


Muhammad Zaki Fajrul Haq
Author: Muhammad Zaki Fajrul Haq

Follow me at @mzfajrulhaq (Instagram) or @ZakiFajrul (Twitter).

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