China tries to ride the coattails of tradition to get users to adopt their new digital yuan wallet

I will as always try and keep you updated on the CBDC news and going on in the world. As I find the topic very interesting, to say the least.

China tries to ride the coattails of tradition

A long-standing tradition in China is the giving of money during the new year, this is done in red envelopes. And as a way to try and use this tradition to get the citizens of China to adopt the new CBDC wallet. Lo and behold, they are now giving the user the option of sending the CDBC in red packages. As a way to mimic and tie it into the old tradition.

While the adoption of the e-CNY started off seemingly great. The use of the currency has seemingly slowed down quite a bit during 2022. And I assume this is the first of many new measures coming to try and get people to switch to the e-CNY.

The digital yuan crossed $14 billion in total transactions back on October 10th last year. Which is an impressive number. But if we look back at the end of 2021 we see that the total transaction then was $12 billion. Meaning there has been only a 14% increase in almost a year. And I assume those numbers are not making the people in charge very happy.

If you want to read more about the Nigerian CBDC adoption push, you can do that here.

Given the news coming out of Nigeria at the end of the year. Where the government is restricting the amount of money people can withdraw from ATMs, in a way to try and push them to adopt their CBDC. I fear that this digital red package is China's version of the carrot. And what will be coming next is the stick.

And for those of you who wonder. The Chinees new year is celebrated on January 22.

What are your thought on this digital red package they are using to try and get people to adopt and use their digital yuan? Is it a good way, good compared to the alternatives? Or is it better to resist as long as possible and hope they will not force it down the throat of the people? Please sound off in the comment section down below. If you would like to support me and the content I make, please consider following me, reading my other posts, or why not do both instead.

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Picture provided by: Public domain, Fair use