China opens industrial park for digital yuan CBDC development in Shenzhen
China opened an industrial park dedicated to developing the digital yuan ecosystem on Oct. 11, according to Chinese press reports. This is the first such park dedicated to the central bank digital currency (CBDC), which is also referred to as the e-CNY.
The industrial park is located in the Luohu district of Shenzhen adjacent to Hong Kong. It is opening with nine residents. According to reports, the district government has announced ten “initiatives to boost the development” of the digital yuan ecosystem that involve payment solutions, smart contracts, hard wallets and digital yuan promotion.
Incentives are being offered to residents that include up to three years’ free rent. Commercial banks can receive up to 20 million yuan ($2.7 million) for settling there, startups are eligible for up to 50 million yuan ($6.9 million). Total government support is set at 100 million yuan ($13.7 million). Loans at advantageous rates are also being offered.
Related: City of Shenzhen airdrops 30M in free digital yuan to stimulate consumer spending
Among the first residents of the park were Hengbao, Wuhan Tianyu Information and Lakala Payment. Hengbao and Tianyu produce payment cards, among other things. Lakala is a payments processor and Visa partner.
The Shenzhen Digital RMB Industrial Park officially launched operations on Wednesday, according to a press briefing held in the southern Chinese metropolis of Shenzhen https://t.co/Pi3Z6bjUvp pic.twitter.com/SehYDnhoUu
Wuhan Tianyu Information executive deputy director Zeng Zhaoxiang told China Daily:
China has taken many measures to promote the usage of the digital yuan, which is officially in the pilot stage. Twenty-six cities are participating in the pilot, and the CBDC is accepted by 5.6
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