The application of the digital yuan, or e-CNY, has been gradually integrated into people's everyday lives in Xi'an, since the city was designated as the second pilot area for the digital yuan since November 2020.

The digital yuan is a digital form of legal tender issued by the People's Bank of China. It is characterized by its safety, efficiency, convenience and inclusiveness.

By the end of June this year, Xi'an had opened 19.89 million individual digital yuan wallets and 2.13 million corporate wallets. A total of 729,800 pilot scenarios have been officially launched, with a total of 47.13 million transactions valued at 13.13 billion yuan ($1.81 billion).

A Xi'an citizen tries out the digital yuan. [Photo/Xi'an news network]

Driven by Xi'an Bank, more than 100 catering and tourism stores of the Great Tang Mall had already started accepting digital yuan payments as early as 2021. The Great Tang Mall has become the first digital yuan demonstration block in Xi'an.

The taxi industry in Xi'an, in collaboration with Xi'an Bank, launched a pilot project for accepting digital yuan payments in 2021. QR codes for digital yuan payments were posted in the first batch of 10 selected taxis, a pioneering move in the national taxi industry.

With the continuous expansion of digital yuan applications, significant achievements have also been made in the development of smart government affairs.

Several pilot institutions, such as China Construction Bank and Industrial and Commercial Bank of China, have integrated digital yuan payments into the social security and medical insurance collection system, guaranteeing the rights and benefits of payers.

Meanwhile, to encourage citizens to experience digital yuan wallets, several banks have carried out various promotional activities, including gift rewards for wallet activation, payment discounts, and targeted red envelopes.

These activities also serve as a new way to boost consumption and expand domestic demand.