Shenzhen will give 30 million free digital yuan

The Shenzhen region, considered the “Silicon Valley” of China, announced that it will distribute around 30 million Digital Yuan. The amounts will be intended for citizens who will be able to test the Chinese digital wallet service.

As other cities have done before, the value will be given through the famous “red envelopes”. These envelopes are a traditional form of gift in China.

According to the portal Shanghai Securities News, Citizens will be able to redeem envelopes containing Digital Yuan via the Meituan platform.

Also according to the publication, people who wish to be contemplated need to access the Meituan app. Then just look for the “Tesco Shenzhen” tab. Then, they will be able to enter the lottery and compete for the prize.

Digital Yuan can be used at more than 15,000 offline and online merchants in Shenzhen city.

It is worth noting that this is not the first time that Shenzhen has distributed money to its inhabitants. After all, the city has already issued several rounds of consumer coupons to citizens through platforms like Meituan.

Free digital yuan in Shenzhen

Meituan data shows that, driven by consumer coupons, the number of users shopping in Shenzhen has increased significantly. As a consequence, this has encouraged the city to proceed with the strategy.

According to the portal, from April 28 to May 26, the transaction volume of Shenzhen Longhua Business District; Science and Technology Park Business District; Xili Business District; Shajing Business District; and Minzhi Business District increased by 23.24%, 15.37%, 24.21%, 23.89% and 21.56%, respectively.

In addition to serving as an action to encourage the growth of local consumption, the Digital Yuan distribution helps the Chinese government to test its CBDC and applications that operate the digital currency service.

According to data from the portal, from January to April this year, at least 20 provinces and cities across the country have successively issued Digital Yuan consumption coupons totaling more than 3.4 billion yuan.