Bank of Communications Shenzhen Branch Successfully Pilots Its First Cross-Chain Payment Transaction, Exploring New Scenarios for Digital RMB Cross-Border Payments

Bank of Communications Shenzhen Branch Successfully Pilots Its First Cross-Chain Payment Transaction, Exploring New Scenarios for Digital RMB Cross-Border PaymentsRecently, under the guidance of the People's Bank of China's Digital Currency Research Institute and Bank of Communications Headquarters, Bank of Communications Shenzhen Branch successfully piloted its first cross-chain payment transaction within the system. This transaction, focusing on payment of warehousing fees under service trade, successfully established a cross-chain payment pathway with Bank of China Hong Kong, exploring the feasibility of utilizing digital RMB for cross-chain payments and further enriching digital RMB's cross-border application scenarios

Bank of Communications Shenzhen Branch Successfully Pilots Its First Cross-Chain Payment Transaction, Exploring New Scenarios for Digital RMB Cross-Border Payments

Recently, under the guidance of the People's Bank of China's Digital Currency Research Institute and Bank of Communications Headquarters, Bank of Communications Shenzhen Branch successfully piloted its first cross-chain payment transaction within the system. This transaction, focusing on payment of warehousing fees under service trade, successfully established a cross-chain payment pathway with Bank of China Hong Kong, exploring the feasibility of utilizing digital RMB for cross-chain payments and further enriching digital RMB's cross-border application scenarios.

The success of this pilot transaction marks a significant breakthrough in the Bank of Communications Shenzhen Branch's efforts to promote the application of digital RMB in cross-border payments. The implementation of this transaction not only reflects the Bank of Communications Shenzhen Branch's commitment to the national financial technology innovation strategy but also represents a crucial step in promoting the application of digital RMB in cross-border payments and fostering high-quality development within the financial industry.

Compared to traditional cross-border payment systems, the application of central bank digital currency demonstrates significant advantages in terms of security, efficiency, and cost control. Using central bank currency for cross-border payments fundamentally enhances transaction security. The integration of fund flow and information flow within the central bank digital currency system also ensures transparency and efficiency in the cross-border payment process. Moreover, the application of central bank digital currency helps protect monetary sovereignty, reduces dependence on external payment systems, and strengthens the financial system's autonomy.

The successful pilot of cross-chain payment provides valuable experience and insights for the application of digital RMB in cross-border payments. The Bank of Communications Shenzhen Branch will continue to uphold the concept of innovative development, actively explore cutting-edge areas of financial technology, contribute to promoting the application of digital RMB in cross-border payments, facilitate high-quality development within the financial industry, and continuously enhance the quality and efficiency of services for the real economy.

Specifically, the successful pilot of cross-chain payment signifies the following:

Firstly, it explores a new model for digital RMB cross-border payments. Leveraging the characteristics of digital RMB, this transaction enables cross-chain payment with Bank of China Hong Kong, offering new ideas and methods for the application of digital RMB in cross-border payments.

Secondly, it further enriches the cross-border application scenarios of digital RMB. The successful implementation of this transaction demonstrates that digital RMB can be used not only for domestic payment and settlement but also for cross-border payments, further expanding its application scenarios.

Thirdly, it drives the development of financial technology innovation. The success of this transaction embodies the Bank of Communications Shenzhen Branch's active response to the national financial technology innovation strategy and its commitment to deepening financial reform and opening up, providing new cases and experience for financial technology innovation.

Fourthly, it enhances the efficiency of services for the real economy. The application of digital RMB cross-border payments can effectively reduce cross-border payment costs, improve payment efficiency, provide more convenient and efficient payment services for cross-border trading companies, and promote the development of the real economy.

The successful pilot of cross-chain payment is a significant achievement of the Bank of Communications Shenzhen Branch in implementing the national financial technology development strategy and actively exploring application scenarios for digital RMB. In the future, the Bank of Communications Shenzhen Branch will continue to leverage technology to empower finance, continuously explore the application of digital RMB in cross-border payments, contribute to promoting the application of digital RMB in cross-border payments, facilitate high-quality development within the financial industry, and continuously enhance the quality and efficiency of services for the real economy.