China has established a CBDC based insurance policy

China is committed to making the most of the digital yuan’s potential in the economy. Shenzhen has now created the country’s first-ever cbdc based insurance policy.

Global Times published an article about how the People’s Bank of China (PBOC), Shenzhen branch, and the local ping an insurance subsidiary used the eyuan to insure.

Use Of CBDC based insurance policy

Particular digital insurance policies will be available for medical professionals who work in Shenzhen’s Nanshan. The victims of the COVID-19 epidemic will receive a policy valued at 300,000 Yuan (about $46,346). The 50,000 yuan variant (about $7724) will be used for coronavirus diagnosis alone.

It is important to note that applicants who use e-yuan for payments may be eligible for a ‘preferential allocation.’

Wang Peng is an assistant professor at Renmin University, China’s Gaoling School of Artificial Intelligence. He commented on the recent efforts to develop digital yuan. He said that digital currency is becoming increasingly popular with users who are more used to paying for it. This has led to the “market maturing.” This is expected to impact the growth of CBDC applications in real, including the insurance market.

According to BTCManager, Xiong’an New Area stopped using CBDC in June. It’s about the first series of wages in the country, using digital yuan and based on blockchain. The authorities paid half the subsidy for workers being transported via e-CNY in April 2020. This was in the Xiangcheng area of Suzhou.

Read Also: Chainlink Ecosystem Reports Strong Growth, With Increasing Partner Integrations

Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.

Comments are closed.