Digital RMB is here! Small amount anonymity, information encryption...it will protect personal information like this
Speaking of RMB, everyone is familiar with it. But did you know that the renminbi has embarked on its own road of upgrading and has taken a key step in digitalization - digital renminbi.
We all know how banknotes are spent. But how to use the digital renminbi, many people are full of curiosity, and many people are confused: the current mobile payment tools such as Alipay and WeChat are very convenient, why does the country still develop the digital renminbi?
Develop the economy and protect security:
The digital yuan came into being
The state issues digital renminbi, in the final analysis, to meet the needs of economic development and security in the new era.
At present, it has become a consensus that the digital economy is the main driving force of global economic growth. On the one hand, the application of legal digital currency is conducive to efficiently meeting the needs of market participants for transactions; on the other hand, the public has higher and higher requirements for payment security, which also requires the participation of national top-level design.
At the same time, the application of digital renminbi can also effectively deal with the challenges brought about by the proliferation of non-legal digital currencies such as bitcoin and litecoin, which will help the state to supervise the currency, enhance the accuracy of monetary policy regulation, and better Maintain financial order.
In addition, once the digital renminbi is widely used, it can also enhance its international influence and boost the internationalization of the renminbi.
As early as 2014, the People's Bank of China began to conduct research on digital currency, and in 2019, it clearly proposed the name of China's legal digital currency as DCEP (Digital Currency Electronic Payment, or "Digital RMB"). Entering 2020, the People's Bank of China has successively tested the digital renminbi in Shenzhen, Suzhou and other places.
During the 2022 Beijing Winter Olympics, which has attracted worldwide attention, the pilot use of digital renminbi payment in relevant venues has become a highlight
As of the middle of this month, the latest version of the digital RMB App has been launched on the Apple App Store and major Android platforms.
Digital RMB is gradually entering our lives.
Benefit the country and the people, widely used:
Digital RMB has significant advantages
So, what is the difference between the application scenarios of digital renminbi and mobile payment tools such as Alipay and WeChat?
1. Payment is more convenient. The use of digital renminbi does not require a network or a bank account. In an environment with no network or poor network signal, it can be used as usual. In some rural areas and remote mountainous areas, even if residents do not have a bank account, they can directly enjoy financial services through digital wallets, which can also ensure that various state subsidies are received in one step, which is conducive to promoting the development of inclusive finance.
2. Save transaction costs. The digital renminbi is cash in circulation, "delivery is settled", and there is no need to bear any costs. This is a major benefit for many large import and export enterprises with complicated payment procedures, which will save them a lot of expenses and improve the efficiency of capital turnover.
3. Wide range of application scenarios. As my country's legal tender, digital renminbi has a relatively wide range of application scenarios. For example, it is backed by national credit and can be used across platforms, and no institution shall refuse to accept it; the digital renminbi will also explore the introduction of smart visual cards, etc., to solve the problem of inconvenience in operating smartphones for specific groups such as the elderly and the disabled, which will help To bridge the "digital divide" existing in the current society.
Protect privacy, fight crime:
Digital RMB builds a new ecology
When discussing the digital renminbi, people are most concerned about its security and privacy protection. Some even believe that the use of the digital yuan will lead to the leakage of our personal information.
In fact, the protection of user privacy by digital renminbi is the highest among the current payment tools. The system follows the principle of "small amount anonymity, large amount traceability" , that is, small amount of funds are anonymously traded, and large amounts of funds need to be authenticated, which not only meets the needs of people's daily life, but also ensures transaction security.
The sub-wallet model is another move by the digital yuan to protect personal information. Traditional e-commerce platforms collect a large amount of personal information through users' online shopping and consumption behaviors, and offenders even sell it for profit. The digital renminbi encrypts user information through the sub-wallet mode and then pushes it to various e-commerce platforms, making it impossible to identify specific subject information, which can be described as "drawing from the bottom of the pot".
As for the traceability of large-value capital transactions, it is conducive to combating illegal and criminal acts such as telecommunication fraud, online gambling, money laundering, terrorist financing and tax evasion, and meets the requirements of relevant laws and regulations such as the Civil Code and the Cybersecurity Law.
It should be noted that the digital renminbi is still in the pilot stage, and needs to be further improved in terms of system, technology and application. According to relevant news reports, new types of scams using digital renminbi as a gimmick have appeared in some areas of our country. Lawless elements may carry out pyramid schemes in the name of digital renminbi promotion, or conduct trading activities on asset platforms in the name of digital renminbi.
In this regard, everyone must realize that the functions of digital renminbi and paper renminbi are exactly the same. When encountering similar propaganda such as the so-called digital renminbi to promote profit or cash back to pay a deposit, do not believe it. In addition, the digital renminbi is still in the pilot stage, and related apps need to be downloaded from the mobile software store. Do not click on the so-called digital renminbi app links from other sources, and do not easily disclose your bank card account number, password, ID card and other personal information.
main reference:
[1] Li Fengwen. Be fully prepared for the arrival of digital RMB. China Economic Review [J], 2022(03): 60~63.
[2] Xu Ling, Hong Yi, Tian Lulu. Research on the protection mechanism of personal information during the issuance of digital RMB. Internet World [J], 2022(03): 46~51.
