China's cenbank joins cross-border digital currency pilot

The project is currently run by central banks in Hong Kong and Thailand along with the the central bank umbrella group

  
A man wearing a mask walks past the headquarters of the People's Bank of China, the central bank, in Beijing, China, as the country is hit by an outbreak of the new coronavirus, February 3, 2020.

A man wearing a mask walks past the headquarters of the People's Bank of China, the central bank, in Beijing, China, as the country is hit by an outbreak of the new coronavirus, February 3, 2020.

REUTERS/Jason Lee

HONG KONG - China's central bank will join a project looking at using central bank digital currencies (CBDC) for cross-border payments, the Bank of International Settlements (BIS) said on Tuesday.

The project is currently run by central banks in Hong Kong and Thailand along with the the central bank umbrella group

The People's Bank of China's own domestic CBDC project is one of the most advanced projects of its kind in the world, having conducted trials in several major cities.

CBDCs are like banknotes or coins, and would give holders a direct claim on the central bank, potentially leapfrogging commercial banks.

(Reporting by Alun John) ((Alun.John@thomsonreuters.com; +852-28415827;))

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