Key facts
- China's digital yuan platform, CBETS, has signed 26 financial institutions.
- The platform aims to facilitate low-cost, efficient cross-border payments.
- Standard Chartered Bank (China) is among the first foreign banks to join.
- The People's Bank of China manages the digital yuan's international operations.
China has signed agreements with 26 financial institutions to join its Cross-border e-CNY Transfer Services (CBETS) platform, a move aimed at expanding low-cost, efficient cross-border payments and advancing the global adoption of its digital yuan. The agreements were signed in Shanghai on Tuesday.
CBETS is an integrated cross-border settlement platform that facilitates round-the-clock digital payment links with foreign central banks and overseas financial institutions. The international operation centre for the digital yuan is managed by the People's Bank of China.
"Fintech is fundamentally reshaping the underlying logic of cross-border payments and providing new momentum and pathways for them," said Jean Lu, CEO of Standard Chartered Bank (China). "An efficient, convenient, and compliant cross-border payment experience will further enhance the international use of the yuan." Standard Chartered Bank (China) was among the first foreign banks to sign and join CBETS.
Industry sources indicate that China's central bank is making a broad push to increase the use of the digital yuan both domestically and abroad, potentially setting Beijing on a path that could compete with the United States in shaping the future of money. In March, China reportedly approved a dozen additional banks to handle its digital yuan, signaling an acceleration in its efforts.