INSIGHTS | China’s digital currency: A foundation for 21st-century global leadership

After five years of waiting, every futurists’ dream is about to come true. On August 10, the People’s Bank of China (PBOC) announced at a forum that they are “nearly ready” to launch the world’s first digital fiat currency.

Bottom line: China is building out a monetary infrastructure for the 21st century that could leave the USD, and Western systems, behind. While they’re not the only country looking into it, China has all the elements needed to roll it out: an economy rapidly phasing out cash, a banking system in need of more transparency, and a geopolitical strategy to internationalize the RMB.

A brief timeline

Jun 29 2009 – After the runaway success of QQ Coin, China issues rules stating that virtual currencies can only be used “to trade in virtual goods and services provided by its issuer, not real goods