China Post Savings Bank Strengthens Digital RMB Customer Identity Information Governance to Address Money Laundering Risks

China Post Savings Bank Strengthens Digital RMB Customer Identity Information Governance to Address Money Laundering RisksCailian Press, July 3rd (Reporter Peng Kefeng) As money laundering methods continue to emerge in the financial sector, relevant departments need to adjust their business policies in a timely manner. Recently, China Post Savings Bank (China Post Bank) issued a statement on its official website stating that, in accordance with relevant anti-money laundering policies and requirements, it will promote the governance of digital RMB customer identity information

China Post Savings Bank Strengthens Digital RMB Customer Identity Information Governance to Address Money Laundering Risks

Cailian Press, July 3rd (Reporter Peng Kefeng) As money laundering methods continue to emerge in the financial sector, relevant departments need to adjust their business policies in a timely manner. Recently, China Post Savings Bank (China Post Bank) issued a statement on its official website stating that, in accordance with relevant anti-money laundering policies and requirements, it will promote the governance of digital RMB customer identity information. For personal customers with incomplete identity information, China Post Bank will take measures such as lowering transaction limits and restricting financial services for wallets under their names.

On July 1st, China Post Bank issued an announcement on its official website, announcing that it will further strengthen the verification of the completeness and validity of personal customer identity information for digital RMB. According to laws and regulations such as the "Anti-Money Laundering Law of the People's Republic of China," the "Measures for Financial Institutions to Identify Customer Identity and Manage Customer Identity Information and Transaction Records," and the "Guidelines for Anti-Money Laundering and Anti-Terrorist Financing for Digital RMB," China Post Bank will verify customer identity information, including name, gender, nationality, occupation, residence or work address, contact number, type of identity document or proof of identity, number, and document validity period.

For personal customers with incomplete identity information, who have not retained a copy of their identity document, or whose identity document has expired and has not been updated in a timely manner within 90 days, China Post Bank will take measures such as lowering transaction limits and restricting financial services. China Post Bank stated that if customers still need to use their wallets normally, they can upload copies of their documents and update the validity period through the digital RMB APP client, the China Post Bank mobile banking client, or update and complete their customer identity information by bringing their valid ID to any branch of the bank. Once the information is complete and accurate, wallet functionality can be restored.

A securities industry analyst told Cailian Press that the digital RMB emphasized controllable anonymity and security during development, and has different levels of design. By default, users open a low-permission anonymous wallet, which generally does not require them to provide identity information to institutions, but their usage limit is low, mainly used for general consumption. If large amounts are used, real-name authentication is required. It is generally believed that the digital RMB identity information governance mentioned by China Post Bank should be mainly targeted at users of low-permission digital RMB wallets.

"To some extent, there are indeed money laundering risks associated with some anonymous uses of the digital RMB." the analyst pointed out.

Currently, the national pilot areas for digital RMB include Beijing, Hebei Province (the whole province), Tianjin, Dalian, Shanghai, Jiangsu Province, Hangzhou City, Ningbo City, Wenzhou City, Huzhou City, Shaoxing City, Jinhua City, Fuzhou City, Xiamen, Jinan, Qingdao, Changsha, Guangdong Province, Nanning, Fangchenggang, Hainan Province, Chongqing, Sichuan Province, Kunming, Xishuangbanna, and Xi'an. In terms of usage, currently platforms such as Taobao, JD.com, Meituan, NetEase Yanxuan, Vip.com, Ctrip, Didi, and WeChat Mini Programs have all accepted digital RMB.

Recently, many banks have launched customer identity information governance initiatives. Cailian Press has found that since the beginning of this year, banks such as Qinghai Bank, Guangdong Xingning Rural Commercial Bank, Inner Mongolia Rural Credit Union, Zhengzhou Rural Commercial Bank, Erenhot Rural Cooperative Bank, and Dengkou County Rural Credit Cooperative Union have announced that they will implement customer identity information governance measures for cardholders. Additionally, at the end of May, China Post Bank also published an announcement on personal customer identity information governance. At that time, China Post Bank stated that, in accordance with laws and regulations such as the "Anti-Money Laundering Law of the People's Republic of China," the "Regulations on Real-name Registration for Personal Deposit Accounts," and the "Measures for Financial Institutions to Identify Customer