PBoC's Digital Currency Institute seeks to expand reach, establishes new research center in Nanjing

The People's Bank of China’s (PBoC) Digital Currency Research Institute is planning to set up new centers across the country in collaboration with research and development institutions and industries.

Referring to a report from local news source Securities Times, CoinDesk stated on September 5th that a fintech center has been established in Nanjing, the capital city of the eastern Jiangsu province, in partnership with the municipal government, University of Nanjing, the Bank of Jiangsu Bank, the PBoC’s Nanjing Branch and the PBoC’s Digital Currency Research Institute.

The center will focus on financial technology and innovation in cutting-edge technologies such as blockchain, big data, and artificial intelligence. These fintech centers will also serve as hubs for the testing of the PBoC’s planned central bank digital currency (CBDC), which is expected to go into the production stage in the future.

The Digital Currency Research Institute has also established a wholly-owned subsidiary in the southern city of Shenzhen. Called Shenzhen Financial Technology Co., Ltd., the firm was incorporated in June with an initial starting capital of around $300,000.

The central bank opened the digital currency research institute in Beijing last year. The institute is now spreading to other cities in order to foster blockchain and fintech development.

Recent reports also suggest a blockchain-based trade finance initiative, backed by the PBoC, has entered the testing phase, ahead of its final release.