Shenzhen's digital currency is coming, the future competitive landscape needs to be observed

　　Gao Niuniu, a girl from Ningxia, came to Shenzhen for work in December 2017. Last night, she posted her "winning" message on WeChat and Weibo.
　　Gao Niu Niu is a red envelope of digital RMB. On the evening of the 12th, 50,000 people in Shenzhen, including her, received a text message that could activate a digital red envelope totaling 10 million yuan. This is a gift from Luohu District, Shenzhen, and it is consumed at a limited time and place. More than 1.91 million people participated in the event, and each red envelope was 200 yuan. The winning rate was not high.
　　This is part of the latest central government policy for Shenzhen. On the evening of October 11, the "Shenzhen's Implementation Plan for the Pilot Comprehensive Reform of Building a Pilot Demonstration Zone of Socialism with Chinese Characteristics (2020-2025)" was issued. The plan stated that it supports the establishment of a financial technology innovation platform based on the Shenzhen Subsidiary of the Central Bank Digital Currency Research Institute, supports the development of internal closed pilot testing of digital renminbi, and promotes the development and application of digital renminbi and international cooperation. Once again, Shenzhen is at the forefront of the country.
　　This red envelope pilot activity is the first large-scale test of digital RMB in China. During the test period , consumption can only be done at 3389 merchants that have completed the digital RMB system transformation. In addition, the red envelopes issued must be activated in a dedicated APP, which means that 50,000 users will download the digital RMB APP.
　　Shao Bing, the person in charge of Tencent Cloud Blockchain, said that before the digital renminbi, China’s legal currency was paper currency , and online payments in various currencies were electronic paper currency. The digital currency issued by the central bank itself is legal currency, essentially M0. He believes that digital currency is a very useful attempt , which can improve the international level of the renminbi and enhance the renminbi's regulatory capabilities.
　　Shao Bing believes that digital renminbi does not require blockchain technology, even if it is used very little . In other words, all kinds of blockchain hype will not benefit from digital currency issuance.
　　At present, the market lists some listed companies as digital currency concepts, but at least from the current point of view , the central bank has the technology needed for digital currency. The investment required by digital currency is far less than the traditional banking industry’s demand for information technology and other industries. .
　　Shao Bing believes that in theory, the central bank can easily grasp all digital currency information without the need for commercial banks ; but from the information currently available, commercial banks are digital currency promoters, and the current commercial banking system will not be affected. The method of storing reserves may change , but it is still irreplaceable in terms of providing loans.
　　Insiders said that the micro-channel and payment tool Alipay have become , because of the convenience of having both a strong application scenarios. When people are willing early adopters to download a digital currency APP, but is willing to retain the APP , we will have to see its convenience. The future competitive landscape still needs to be observed.