Leading Chinese banks have introduced digital yuan withdrawals at more than 3,000 ATM locations in Beijing. Residents of the capital city will now be able to exchange their e-CNY funds for cash and vice versa. Some of the teller machines are located in a popular shopping area.
ICBC Takes the Lead
The Beijing branches of two major state-owned banks, Industrial and Commercial Bank of China (ICBC) and Agricultural Bank of China (ABC), have taken the lead in offering two-way exchange between the digital and traditional version of the national fiat currency. The new service is now available at thousands of automated teller machines in Beijing, according to Xinhua Finance. ICBC has activated the function on more than 3,000 all-in-one ATMs across the capital, becoming the first banking institution in Beijing to support digital yuan-cash exchange.
ABC Follows Suit in Wangfujing
Agricultural Bank of China has deployed more than 10 of its ATM machines in Beijing's Wangfujing area, a bustling shopping district centered on Wangfujing street. All of these machines facilitate the exchange of digital yuan with cash. The launch comes after earlier tests in Shenzhen. Along with ICBC, ABC is among the country's top four state-run commercial banks.
China Presses On With e-CNY Adoption
Among dozens of CBDC projects underway globally, China has arguably the most advanced one. A growing number of merchants now accept the e-CNY, and workers have received salaries in the digital currency issued by the People's Bank of China. Financial authorities have launched digital yuan trials in major cities and started testing cross-border transactions with Hong Kong. The government has also been distributing digital money through 'red envelope' lotteries. Earlier this month (June 2021), Beijing and Shanghai announced they would distribute over $9 million in digital yuan to residents. Similar campaigns have been carried out in Shenzhen, Chengdu, and Suzhou. Lottery winners can spend the handouts with participating merchants such as JD.com, the first online platform to accept the e-CNY. Payments giant Alipay also has linked its app with digital yuan wallets.
With ATM support now live in Beijing, the infrastructure for digital yuan circulation becomes more robust, offering residents an easy way to manage their CBDC holdings alongside traditional cash.