China to Test Digital Yuan on Tencent-Backed Food Delivery Platform

Now three Tencent-backed companies are setting themselves up to become early-stage testers for China’s digital yuan initiative.

Jul 15, 2020 at 9:15 a.m. UTC
Updated Sep 14, 2021 at 9:31 a.m. UTC

China wants to trial its digital yuan using online food seller Meituan-Dianping, as well as another two Tencent-backed companies.

  • The Beijing-based company has held talks with the research wing at the People's Bank of China (PBoC) over trialing the digital yuan on their platform, according to sources speaking to Bloomberg.
  • The exact details of the collaboration are not yet known; the digital yuan is formally known as the Digital Currency Electronic Payment (DCEP).
  • Listed in Hong Kong, Meituan-Dianping's 400 million active users make it one of the largest food delivery platforms in the world; revenues in 2019 increased nearly 50% to RMB97.5 billion (~$14 billion).
  • It is backed by internet giant Tencent, which had a 20% equity stake just before the 2018 initial public offering and remains a major investor.
  • Tencent, which also owns popular messaging and payments app WeChat, is set to be one of the primary commercial issuers for the digital yuan when it goes live.
  • It has also set aside billions of dollars to invest in new technologies, including blockchain.
  • Two other Tencent-backed companies are also said to be in advanced talks with PBoC.
  • This includes video-streaming platform Bilibili, according to Bloomberg sources, which received a $300 million commit from Tencent in late 2018.
  • Last week, ride-hailing startup Didi Chuxing said it would trial the digital yuan as a new payment option; Tencent invested $15 million in 2013.

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
CoinDesk - Unknown
How the Metaverse Could Be a Game-Changer for NFT Gaming

Rather than letting players port weapons or powers between games, non-fungible tokens will more likely serve as building blocks for new games and virtual worlds. This piece is part of CoinDesk's Metaverse Week.

Rather than letting players port weapons or powers between games, non-fungible tokens will more likely serve as building blocks for new games and virtual worlds. This piece is part of CoinDesk's Metaverse Week.

CoinDesk - Unknown
2
CoinDesk - Unknown
Arthur Hayes, ex CEO de BitMEX, es sentenciado a 2 años de libertad condicional

Hayes se declaró culpable de un cargo de violación de la Ley de Secreto Bancario (BSA) en febrero y enfrentó una sentencia de hasta 12 meses de prisión.

Hayes se declaró culpable de un cargo de violación de la Ley de Secreto Bancario (BSA) en febrero y enfrentó una sentencia de hasta 12 meses de prisión.

CoinDesk - Unknown
3
CoinDesk - Unknown
Lockheed Martin, Filecoin Foundation to Explore Hosting Blockchain Nodes in Space

The two plan to identify a test mission by August 2022.

The two plan to identify a test mission by August 2022.

CoinDesk - Unknown
4
CoinDesk - Unknown
Get Started With DESK: How to Set Up Your Wallet

Learn the first step toward using CoinDesk's relaunched social token.

Learn the first step toward using CoinDesk's relaunched social token.

CoinDesk - Unknown