China expands digital yuan program with 12 new banks and holiday

China’s central bank announced on April 2 that twelve more banks can now operate the digital yuan, raising the total authorized operators to 22 and coinciding with a series of holiday red‑packet promotions that have pushed e‑CNY wallets to 261 million users and transaction volume to 87.57 billion yuan【2】.

Expanding the operator network

The People's Bank of China (PBOC) said the new participants—including China CITIC Bank, China Everbright Bank and Shanghai Pudong Development Bank—are intended to “enhance the inclusiveness of digital yuan services” and meet demand for “safe, convenient and efficient” payments【2】. This expansion follows earlier pilots that saw state‑owned banks distribute e‑CNY red packets worth 25 million yuan in Shenzhen and offer discounts on public transport and shopping. By the end of March, promotions in Suzhou and Chengdu had provided thousands of digital‑yuan coupons usable at nearly 1,000 merchants, reinforcing everyday use of the currency【1】.

Holiday campaigns drive usage

Parallel to the operator rollout, the PBOC highlighted rapid growth in wallet adoption. As of Dec 31, the pilot program covered more than 8.08 million retail scenarios, with small‑value transactions (under 30 yuan) forming the bulk of activity【1】. Large internet platforms such as Meituan reported that nearly 90 percent of its e‑CNY red packets were spent on everyday consumption, while JD.com enabled digital‑yuan payments in its self‑operated stores【1】. These initiatives helped push total transaction value to 87.57 billion yuan, a figure that underscores the currency’s expanding role in offline small‑business activity【1】.

Building a global foothold

Beyond domestic promotion, the Bank of China is leveraging its cross‑border clearing network to support the digital yuan’s international use. While not directly tied to the April expansion, BOC’s involvement in the Cross‑Border Interbank Payment System and its role as a clearing bank in multiple regions signal a broader strategy to position the e‑CNY as a global payment option【3】.

What to watch

• Operator additions – Monitor PBOC statements for further bank approvals, which could signal deeper market penetration.
• Transaction volume – Quarterly reports on e‑CNY transaction value will indicate whether holiday‑driven spikes translate into sustained usage.
• Cross‑border clearing – Updates on the number of RMB clearing banks participating in digital yuan settlements may reveal progress toward international adoption.

The expansion of authorized banks and the surge in holiday‑driven transactions suggest the digital yuan is moving from isolated pilots toward broader retail and cross‑border use. Whether this momentum can be sustained once festive promotions fade remains the key question for policymakers and market observers.