Have you heard? Compared to other large countries, China has moved far more quickly to establish CBDC. In 2020, China began testing digital currency. Though the currency has seen application in retail transactions, including the purchase of assets, its smart-contract capabilities have yet to be tested on a broad retail scale.
Adding more to its accomplishments, Meituan, one of China’s leading food delivery and lifestyle applications, has recently enabled smart-contract capabilities for the digital yuan, the CBDC of China’s central bank.
How Does It Work?
According to a local crypto media outlet called 8btc and other mainstream internet media outlets in China, the smart contracts that Meituan uses permit the daily prize of 8,888 RMB ($1,312) to be divided up into many winners.
The smart contract is activated when a user puts an order through the app and pays for it using the digital yuan. The contract then searches for specific keywords in the list of products purchased as well as the name of the seller. If a user possesses some of those keywords, which are different each day, the smart contract will transfer some of the 8,888 RMB to that user’s digital yuan wallet. These keywords are constantly being updated.
The People’s Bank of China announced earlier in January that the circulation of digital yuan made up 0.13 percent of the total circulation of Chinese renminbi yuan at the end of 2022.
The Digital Currency Institute of the PBOC announced in September that it was striving to expand the capability of smart contracts. Subsequently, the Digital Currency Institute rolled out a smart contract-based function that prevents payees from unlawfully stealing prepaid funds.
More About Meituan: Its Beginning and What it Offers?
Although Meituan is best known for its on-demand food delivery service, the Super App is open to non-F&B service providers. It allows users to book services at hotels, local attractions, and other tourism-related businesses. Meituan is the most well-known brand in the on-demand food delivery industry. Meituan levies a transaction fee in the form of a commission, the amount of which is proportional to the type of company you run.
In addition, Meituan is a tech-driven retail company, and as such, it has a strategic focus on “Retail + Technology.” This focus aligns with Meituan’s vision: “We help people eat better, and live better.”
Since its founding in March 2010, Meituan has made significant strides in the digital upgrading of the supply and demand sides of the retail industry for services and merchandise. We can give high-quality services to customers thanks to our collaboration with our partners. Meituan was officially introduced to the public on the Main Board of the Stock Exchange of Hong Kong Limited on September 20th, 2018.