(Yicai) April 8 — Bank of China has worked out a solution for using digital yuan wallets to make near-field communication payments and began trialing it in Shenzhen, guided by the country’s central bank.
The two-step NPC payment solution on Bank of China’s e-yuan app began testing in Shenzhen taxis last month, Yicai learned. Drivers can select the NPC function on the app’s homepage and input the fare amount, while passengers can pay using the NPC function of their e-yuan hardware wallet.
Getting and opening an e-yuan hardware wallet is easy and can be made anonymously. Such wallets have been popular among foreigners in China since the 2022 Beijing Winter Olympic Games because they are an efficient payment option for those staying in the country for a short period.
The solution can significantly widen the use of e-yuan wallets among receivers, making it quick and easy for foreigners and elderlies in China to make payments, Dong Ximiao, chief researcher of China Merchants Bank-China Unicom Consumption Finance, told Yicai. Pay-receiving devices are cheap to equip, easy to carry, and convenient to use, Dong added.
Shenzhen has more than 20 automatic machines that have issued nearly 30,000 e-yuan hardware wallets, according to official figures. However, most devices receiving payments from these wallets are upgraded point-of-sale devices, which needs improvement. NFC offers a new and convenient payment method for e-yuan wallets.
Editors: Tang Shihua, Martin Kadiev