Suzhou will release red envelopes (红包), a common way to transfer money between people in China, filled with digital currency next month. Many businesses and merchants have already installed near-field communication (NFC) QR codes to participate in this event.
Suzhou’s digital currency red envelopes follows the success of Shenzhen’s pilot lottery draw in which 10 million digital RMB was distributed to 50,000 residents. Digital currency is developing rapidly in China and civil servants in Suzhou began receiving part of their salary in digital currency in August.
The launch of the digital RMB red envelopes will coincide with the Double 12 shopping festival which takes place on December 12. Double 12 was invented by Taobao in 2013 following on from the success of Double 11 or Singles’ Day and is another shopping bonanza which offers consumers discounts and benefits.
Read the latest developments about China’s digital currency:
- China’s cashless society progresses with the digital RMB
- Beijing pioneers China’s digital economy with pilot digital trade zone
- 10 million RMB in digital currency set to boost consumption