{"id":23330,"date":"2023-06-16T03:06:25","date_gmt":"2023-06-16T07:06:25","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/chinese-banks-unveil-cbdc-wealth-management-options\/"},"modified":"2023-06-16T03:06:27","modified_gmt":"2023-06-16T07:06:27","slug":"chinese-banks-unveil-cbdc-wealth-management-options","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=23330","title":{"rendered":"Chinese Banks Unveil CBDC Wealth Management Options"},"content":{"rendered":"
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Chinese banks will let their customers pay for more wealth management products using the digital yuan, as the nation\u2019s central bank digital currency (CBDC) continues to branch out.<\/p>\n

Per the Chinese media outlet Financial Report Network (via Stockstar), the state-owned China Construction Bank (CCB) has teamed up with China International Capital Corporation and the securities firms Orient Securities and Guotai Junan Securities.<\/p>\n

The CICC is a partially state-owned investment management and financial services provider.<\/p>\n

The financial firms will launch services that allow bank customers to \u201cuse their personal digital yuan wallets as a bridge.\u201d<\/p>\n

They will be able to use CBDC wallets to \u201cconnect\u201d CBDC holdings with securities accounts.<\/p>\n

This will mean that CCB customers will soon be able to choose the digital yuan as a payment option in securities apps when buying securities.<\/p>\n

Traders will also be allowed to receive digital yuan payments when they sell stocks.<\/p>\n

The securities firms also provide paywalled research data, securities news services, and reports.<\/p>\n

All of these will now be made available for digital yuan-paying customers.<\/p>\n

The deal will also allow the firms to create tri-party (aka tripartite) custody agreements with the digital yuan.<\/p>\n

These agreements involve funds that appoint custodians to hold securities and fiat on behalf of their investors.<\/p>\n

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Chinese Banks Launch CBDC Wealth Management Products \u2013 More to Come?<\/h2>\n

The CCB said it would \u201ccontinue to leverage its rich experience in the fields of digital yuan research and development.\u201d<\/p>\n

And it pledged to \u201ccontinue to explore and promote the application and innovation of the CBDC in [new] scenarios.\u201d<\/p>\n

Last month, the China Securities Regulatory Commission, the nation\u2019s markets regulator, said it would allow domestic securities operators to provide digital yuan securities offerings.<\/p>\n

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Also in May, the commission granted approval to the securities provider China Galaxy to launch a pilot for a digital yuan-powered over-the-counter wealth management product.<\/p>\n

China Galaxy has partnered with the Industrial and Commercial Bank of China, another of China\u2019s state-owned megabanks.<\/p>\n<\/p><\/div>\n