Digital RMB is getting closer and closer to us. The Ministry of Commerce recently issued the notice on the overall plan for comprehensively deepening the innovation and development of service trade, saying that it will carry out pilot projects of digital RMB in Beijing, Tianjin, Hebei, Yangtze River Delta, Guangdong, Hong Kong and Macao Bay area, as well as areas in the central and Western Regions where conditions permit. In accordance with Article 93 of the notice of the Ministry of Commerce, “comprehensively deepen the pilot tasks, specific measures and division of responsibilities for the innovative development of trade in services”, the central bank formulated policy guarantee measures. The pilot project of digital RMB was first promoted by Shenzhen, Chengdu, Suzhou, xiong’an New Area and relevant departments in the future Winter Olympic Games, and then expanded to other regions as appropriate. Zhao Xijun, vice president of the school of Finance and finance of Renmin University of China, said that digital currency can be circulated like paper money, and its positioning is to replace cash. Like cash, it is legal currency, with national credit endorsement and unlimited legal compensation. No one can refuse to accept it. < / P > < p > “the functions and attributes of digital currency are exactly the same as that of paper money, but its form is digital.” Mu Changchun, director of the digital currency Research Institute of the central bank, once described such a scenario: there is a digital wallet on the mobile phone, and even the network is not needed. As long as the mobile phone has power, if two mobile phones touch each other, the digital currency in one person’s digital wallet can be transferred to another person. Wen bin, chief researcher of China Minsheng Bank, said that another advantage of digital currency is “controllable anonymity”, which can meet the demand of anonymous payment. However, if the payment involves money laundering, tax evasion, gambling and other illegal and criminal transactions, the transaction information of digital currency can be monitored and traced. Fan Yifei, vice president of the people’s Bank of China, said that the central bank’s digital currency focuses on replacing M0 (i.e. paper money and coins), and maintains the property and main characteristics of cash, meeting the demand of portability and anonymity, and will be the best tool to replace cash. However, this does not mean that digital currency will completely replace paper money. Mu Changchun introduced that the central bank’s digital currency should start from replacing banknotes and coins in circulation. In fact, the balance in the commercial bank account already exists in digital form, and there is no need to replace it. Zhao Xijun believes that the replacement of paper money by digital currency faces two constraints: one is whether the user is willing to use it, and the other is whether the technical conditions can be met. In the view of many industry insiders, it is impossible for digital currency to completely replace paper money, because it is also necessary to take into account the needs of elderly people. In the future, digital currency and paper money will coexist. However, with the implementation of digital RMB, there may be fewer users using mobile payment in the future. With the advantages of off-line payment, digital currency will have an impact on the field of mobile payment, and the scale of use of the two may fluctuate. < / P > < p > with the popularization of mobile payment on a large scale and the demand for paper money has been very limited, why should we implement digital currency in China? Yi Gang, governor of the people’s Bank of China, introduced that the research and development and application of legal digital currency are conducive to effectively meet the public’s demand for legal currency under the condition of digital economy, improve the convenience, security and anti-counterfeiting level of retail payment, and boost the development of China’s digital economy. < p > < p > the central bank has started the research on digital currency earlier. In 2014, the central bank set up a special team to conduct special research on the issues of digital currency issuance framework, key technologies, circulation environment and relevant international experience. In April this year, the news that “the central bank’s digital currency has been tested in the Agricultural Bank of China” and “the first application scenario of the central bank’s digital currency will be implemented in Xiangcheng District of Suzhou” continued to ferment, and a photo of the internal test of the account of the agricultural Bank of China spread on the Internet. < / P > < p > from the picture, the main functions of digital currency are basically similar to the daily payment and management functions of bank electronic accounts. For example, there are four common functions in the home page of the digital currency wallet of Agricultural Bank of China: “scan code payment”, “remittance”, “collection and payment” and “one touch”. In response, the digital currency Research Institute of the central bank said that the online information is the test content in the process of technology research and development, which does not mean that the digital RMB is officially issued. The current closed test of digital RMB will not affect the commercial operation of listed companies, nor will it affect the RMB issuance and circulation system, financial market and social economy outside the test environment. < p > < p > Yi Gang also disclosed recently that the R & D work of digital RMB is undergoing internal closed pilot test, which does not mean that the digital RMB will be officially launched, and there is no timetable for its official launch. < / P > < p > in recent years, central banks in many countries around the world are accelerating the pace of digital currency. According to industry insiders, the rapid progress made by the central bank in the digital currency test will enable China to occupy the market initiative in the global financial digital era.