Is the digital currency issued by the central bank legal tender

1.

As of September 2019, the central bank's digital currency has not been issued

the development history of the central bank's digital currency is as follows

in 2014, the Central Bank of China set up a special research team to conct in-depth research on the framework of digital currency issuance and business operation, key technologies of digital currency, issuance and circulation environment, and legal issues faced

in January 2017, the central bank officially established the digital currency Research Institute in Shenzhen

in September 2018, the Institute of digital currency built a trade finance blockchain platform

On July 8, 2019, at the launching ceremony of the digital finance open research program and the first academic seminar, Wang Xin, director of the Research Bureau of the people's Bank of China, disclosed that the State Council has officially approved the research and development of the central bank's digital currency, and the central bank is engaged in corresponding work in organizing market institutions

on August 2, 2019, the central bank said at the second half of 2019 work video conference that it would speed up the research and development of legal digital currency

on August 10, 2019, Mu Changchun, deputy director of the payment and Settlement Department of the central bank, said at the Yichun forum of 40 people of China finance that "the central bank's digital currency can be said to be ready"

on August 18, 2019, the CPC Central Committee and the State Council issued their opinions on supporting Shenzhen to build a leading demonstration zone of socialism with Chinese characteristics, which mentioned supporting innovative applications such as digital currency research in Shenzhen

on August 21, 2019, the official micro blog of the people's Bank of China released two articles on digital currency. One is fan Yifei, vice president of the people's Bank of China, who was published in January 2018, talking about some considerations of digital currency of the people's Bank of China. The other is mu Changchun, deputy director of the Department of payment and settlement, who delivered a speech in Yichun on August 10

extended data:

practical significance

the digitalization of central bank's currency helps to optimize the central bank's monetary payment function, 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

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

operation system

fan Yifei, vice governor of the people's Bank of China, said in the article that the digital currency of the people's Bank of China should adopt a two-tier operation system. This model does not change the relationship between creditor's rights and debt of currency in circulation, does not change the existing money supply system and al account structure, does not constitute a competition for commercial banks' deposit currency, and does not increase commercial banks' dependence on the interbank 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

2. DCEP (digital currency electronic payment), the Chinese version of digital currency project, namely digital currency and electronic payment instrument, is the legal digital currency in the research of the people's Bank of China and a kind of digital currency
Digital RMB, issued by the people's Bank of China, is a controllable anonymous payment tool with value characteristics and legal compensation, which is operated by designated operating institutions and exchanged with the public. It is based on the generalized account system, supports the loose coupling function of bank accounts, and is equivalent to banknotes and coins

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3. The central bank's digital currency is the legal digital currency approved by the State Council. The central bank organizes market institutions to engage in the corresponding work of the central bank's digital currency research and development

2019 August 21st, the official account of WeChat central bank released two articles on digital currency.

4. Digital currency is a kind of legal encrypted digital currency, which is not only a payment tool but also a currency. It is essentially different from Alipay and WeChat payment. Alipay, WeChat payment and mobile phone banks are all electronic money, not digital money. These are all payment methods based on electronic accounts, which are in essence just a process of informatization of legal currency, not digital currency in a strict sense
moreover, it is totally different from q-coin and bitcoin. Commonly known as q-coin and bitcoin, these belong to virtual currency. Compared with digital currency, the most fundamental difference lies in the difference of issuers

virtual currency is the electronization of illegal currency. The issuer is not the central bank, and it can only circulate in a specific virtual environment, such as Tencent Q coin and other game coins; Digital currency can be used for real goods and services transactions, but only the digital currency issued by the state is legal digital currency, bitcoin is illegal digital currency

5. In the era of physical money, money itself has intrinsic value, so it can perform these functions of money. However, modern credit money or paper money itself has no value, why can it perform the function of money? This is because the credit currency is supported by the national credit, which has the nature of legal compensation and compulsion. National credit is not only the value basis for the standard currency to perform its monetary function, but also the basis for the state to monopolize the right to issue currency< At the same time, monetary policy is an important means for modern countries to adjust their economy. The change of money supply has a wide influence on economy. Nowadays, central banks all over the world make full use of monetary policy to regulate economic operation
monetary policy, like tax, police, court and other state machines, is the foundation of modern state operation and an important part of state machine. As long as there is no fundamental change in the social organization form of the state, the monetary system based on the national credit will always exist, and bitcoin and other virtual currencies will not become the standard currency of a country. Bitcoin is actually just the use of technology, which is at most an asset, not a real currency< Of course, credit money is prone to inflation. In a sense, people's concern about bitcoin reflects people's worry about inflation under the condition of credit currency. Therefore, central banks should strengthen liquidity management, reasonably regulate money supply and keep prices basically stable.