The US have picked a Cold War with Asian giant China over its Central Bank Digital Currency (Digital Yuan) which China aims to test at the sporting event next year.
Lawmakers of the western world power are on course to spark outrage in China as they move to forbid all US athletes from using the China CBDC throughout their stay in Beijing for the Olympics 2022.
Apart from forbidding US athletes from using the set to lunch digital currency, US lawmakers have also made certain vile allegations against China and its CBDC.
US condemns digital yuan ahead of 2022 Olympics
Previously, China announced plans that the digital yuan may be rolled out for wider use during the Winter Olympics.
This is as China has gone far with testing of the digital yuan across several provinces and cities in China.
PBoC also said it was exploring letting foreign athletes and visitors use the CBDC during the Beijing Winter Olympics 2022, which would reportedly be the first such test by foreign nationals in China.
Although the US appears to be unsettled developing a CBDC for themselves, they are clearly unhappy about China’s digital yuan progress.
Three US senators, Senator Marsha Blackburn, Roger Wicker, and Cynthia Lummis in a letter on Monday to US Olympic and Paralympic Committee board chair Susanne Lyons requested that US athletes are stopped from using or accepting digital yuan.
In the letter by the three US legislators, they alleged that the digital yuan can be “tracked and traced” by the People’s Bank of China. They also claimed that the Chinese Communist Party could use the digital yuan to surveil visiting athletes during and after the sporting event.
In their letter, they stated further that the Chinese government had recently rolled out new features for the China CBDC, giving officials the ability “to know the exact details of what someone purchased and where.”
The legislators also said that messaging and payment app WeChat was being used by China to surveil, threaten, and arrest Chinese citizens.
They noted that the integration of China’s digital currency into global commerce has many problematic privacy implications.
In their letter, they note that it is paramount stakeholders protect the privacy of American athletes from the Chinese communist.
China and its CBDC
China began pilot trials for their CBDC in April 2020 and have airdropped thousands of digital yuan to residents.
The People’s Bank of China has also it may let foreign athletes and visitors use the CBDC during the Beijing Winter Olympics in 2022. It would be the first time foreign nationals test the digital yuan in China.
The country is yet to say anything regarding the steps US is taking to stop its athletes from using the digital yuan during the Olympics 2022 sporting event.
The US is also yet to conclude barring its athletes from using China CBDC during the sporting event come 2022.