Central bank digital currency does not pay interest
2019 August 21st, the official account of WeChat central bank released two articles on digital currency.
this model does not change the relationship between creditor's rights and debt of currency in circulation, the existing money supply system and al account structure, will not constitute a competition for commercial banks' deposit currency, will not increase the dependence of commercial banks on the inter-bank lending market, will not affect the lending ability of commercial banks, and will not lead to the phenomenon of "financial disintermediation". At the same time, because it does not affect the existing monetary policy transmission mechanism, it will not strengthen the pro cyclical effect under the pressure environment, and it can improve the convenience and security of payment, and it also has the credit advantage of central bank endorsement<
practical significance:
the digitalization of central bank's currency helps to optimize the central bank's monetary payment function and improve the central bank's monetary status and the effectiveness of monetary policy. The central bank's digital currency can become an interest bearing asset to meet the holder's reserve demand for safe assets, and can also become the lower limit of bank deposit interest rate. It can also become a new monetary policy tool. At the same time, the central bank can affect the bank's deposit and loan interest rate by adjusting the central bank's digital currency interest rate, and help break the zero interest rate lower limit
for reference.
Digital RMB does not calculate and pay interest. According to the article issued by the vice governor of the central bank, digital RMB is mainly used for non-profit and the pursuit of social welfare maximization. At present, digital RMB will start pilot in Shenzhen, Suzhou, Cheng, xiong'an new area and other places
the purpose of digital RMB is to replace some banknotes, but it will not replace all banknotes. For a long time in the future, people in our country need to adapt to digital currency, so cash payment and RMB digital currency payment will be combined in the future. And the method of using digital RMB is also very simple. As long as you can download the digital currency wallet, you can use it. What's more, it's very convenient to use the wallet without the network. This is a very powerful technology
said here, some people will ask, since WeChat and what can pay Alipay can use electronic payment, why do we need to develop a digital currency? The two of them can also be used instead of cash. In fact, compared to WeChat and Alipay, the advantage of the RMB digital currency is that it does not need to bind the bank card, but also can pay for it without the network. More importantly, anonymity mechanism can protect the privacy of consumers. And it can also monitor the direction of funds, which is of great help to the stability of a financial environment