- PBOC launches Digital RMB 2.0 framework on January 1 with smart contract support.
- Digital yuan transactions reached 14.2 trillion yuan by end of September 2025.
- The new system integrates distributed ledger technology and programmable payments.
China’s central bank will launch an upgraded digital yuan framework on January 1, 2026. The People’s Bank of China announced the new governance and operational system for e-CNY, commonly referred to as “Digital RMB 2.0.” This update transitions the currency from pilot-stage digital cash to a fully integrated component of the national banking system.
Lu Lei, Vice Governor of the PBOC, announced the Action Plan on Further Strengthening the Management and Service System and Related Financial Infrastructure Construction of Digital RMB. The new generation of digital RMB measurement framework, management system, operating mechanism, and ecosystem will be officially implemented on January 1, 2026.
Smart contracts and distributed ledger technology integration
The launch introduces three fundamental shifts in China’s central bank digital currency strategy. Digital RMB holdings will now count toward commercial bank deposit reserve requirements, officially classifying them as commercial bank liabilities rather than just central bank cash liabilities.
The national framework formally integrates a smart contract management system. This will allow for programmable payments at the protocol level.
The system solidifies a hybrid technical structure combining centralized ledgers for high-speed retail throughput with DLT-based components for cross-border settlement and smart contract execution.
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Digital RMB pilot shows strong adoption metrics
China’s digital yuan ecosystem has processed cumulative transactions reaching 14.2 trillion yuan, approximately $2 trillion, by the end of September 2025 according to PBOC data. A total of 3.32 billion transactions had been completed by the same date.
The digital RMB app has 225 million personal wallets opened. The pilot program now covers 26 localities across 17 provincial-level regions in China and has formed replicable application models in retail and public services sectors.
Pan Gongsheng, PBOC governor, addressed the Annual Conference of Financial Street Forum 2025 on Monday. He stated the central bank has established a digital yuan international operations center in Shanghai to oversee cross-border cooperation and usage. A digital yuan operations and management center in Beijing handles system development, operations and maintenance.
The dual-center architecture was made public for the first time after the official launch of the Shanghai international operations center in September. Lu Lei stated the future digital yuan will be a modern digital payment and circulation means issued within the financial system, with technical support and supervision provided by the central bank.
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