Ex-head of China’s CBDC reportedly under investigation

The former head of China’s digital yuan initiative is reportedly under investigation for “serious violations of discipline and law.”

Yao Qian, the former lead developer of China‘s central bank digital currency (CBDC) initiative, is said to be under investigation for violations of discipline and law.

According to a report from China’s national television CCTV, Qian is undergoing disciplinary review by the Central Commission for Discipline Inspection and the National Supervisory Commission stationed at the China Securities Regulatory Commission. He’s also facing an investigation initiated by the Supervisory Committee of Shanwei City. However, specific details regarding the allegations against Qian remain undisclosed as of press time.

Yao Qian played a pivotal role in spearheading the research lab for the central bank’s digital currency initiative since its inception until his departure from the People’s Bank of China in 2018. He later transitioned to the China Securities Regulatory Commission in late 2019.

Former People’s Bank of China Governor Zhou Xiaochuan, who led the institution for 16 years until 2018, earlier highlighted China’s progress in its digital yuan pilot project. Speaking at a conference last November in Hong Kong, Xiaochuan indicated that the nation is nearing the conclusion of its multi-year digital yuan pilot, suggesting that the “final stage is not very far away.”

He underscored China’s significant advancements in digitizing approximately 90% of retail payments and emphasized the substantial business opportunities in cross-border payments, urging central bankers to explore this avenue further.