PBOC Is Planning to Roll Out Its Own Digital Currency Soon

The video discusses the dominance of Alipay and WeChat in China's mobile payments market, which accounts for over 94% of transactions. The People's Bank of China (PBOC) plans to introduce a digital coin, aiming to reshape the payments landscape. This move is driven by geopolitical and economic motivations, as China leads in becoming a cashless society. However, the PBOC faces risks, including technological challenges, financial system impacts, and user adoption hurdles, as it does not use blockchain technology like Bitcoin.

What percentage of the mobile payments market in China is dominated by Alipay and WeChat?

• 80%

• 94%

• 70%

• 60%

What is one of the main reasons behind China's push for a digital currency?

• To support local banks

• To enhance geopolitical power

• To increase cash flow

• To reduce transaction fees

Which company is mentioned as a potential competitor to China's digital currency initiative?

• Google

• Facebook

• PayPal

• Amazon

What is a technological risk associated with the PBOC's digital currency?

• Using outdated software

• Not using blockchain technology

• Lack of internet access

• High transaction fees

What is a potential financial risk of the PBOC's digital currency?

• Increased inflation

• Decreased bank deposits

• Higher interest rates

• Lower foreign investment