Event: on January 4, the digital RMB (pilot version) app landed in the Android and apple mobile phone application market, and users can download it for free. According to Mu Changchun, director of the digital currency Research Institute of the people’s Bank of China, speaking at Hong Kong Financial Technology Week 2021, as of October 22, 2021, China had opened 140 million digital RMB wallets, 10 million enterprise wallets, 150 million transactions and a transaction volume of nearly 62 billion yuan.
From the information disclosed by the digital RMB (pilot version) app, we further confirm our previous view that digital RMB has created a new electronic payment system, mainly in the following aspects:
“New” classification: wallets are classified according to the amount of user identity information, and only the highest level needs to be signed in the pilot area of the operation organization. There are four types of digital RMB (pilot version) wallets, of which, only the mobile phone number is required to open the four types of wallets, and the transaction limit is the lowest. The ID card is also required to open the three types, the bank account is also required to open the second type, and the face-to-face signature is required in the pilot area of the operating organization without transaction limit. At present, the pilot areas include Shenzhen, Suzhou, xiong’an, Chengdu, Shanghai, Hainan, Changsha, Xi’an, Qingdao, Dalian and Winter Olympics scenes (Beijing and Zhangjiakou). The system is different from the current bank card account limits.
“New” in operation: the people’s Bank set up the platform, the six lines, the China Merchants Bank, WeChat payment and Alipay help, UnionPay and Internet Federation continue to retreat. Prior to this, WeChat’s payment and whether Alipay participated in the digital Renminbi system were highly concerned by the market. The digital Renminbi (pilot version) wallet online shows that Internet Banking Bank (Alipay) and micro public bank (WeChat payment) are listed in the list of operators (other agencies are Industrial And Commercial Bank Of China Limited(601398) , Agricultural Bank Of China Limited(601288) , Bank Of China Limited(601988) , China Construction Bank Corporation(601939) , Bank Of Communications Co.Ltd(601328) , Postal Savings Bank Of China Co.Ltd(601658) , China Merchants Bank Co.Ltd(600036) ). For example, the user agreement description of Weizhong Bank (wechat payment) wallet shows that it is jointly operated by Weizhong bank and TenPay (wechat payment operator). Weizhong bank provides operation support to TenPay, and TenPay signs an agreement with users on behalf of their consortium. That is to say, the coexistence of digital Renminbi with WeChat payment and Alipay does not exclude the latter two as channels.
“New” in the ecosystem, “sub wallet” can be pushed to other apps. Digital RMB wallet puts forward the concept of “sub wallet”. Users can set “sub wallet” under the main wallet of the operation organization. After setting, the apps registered with the mobile phone number installed on the user’s mobile phone will be read. Then users can use digital RMB to pay in these apps, set secret free payment, and adjust the single and daily cumulative payment limit in real time, You can also cancel the sub wallet push at any time. Digital RMB (pilot version) app will not push users’ wallet and real name information to merchants. We believe that this reflects the openness of the digital RMB ecosystem and protects users’ privacy.
“New” in the “combination of software and hardware”, the hardware wallet includes mobile devices and card type. Digital RMB (pilot version) wallet information shows that users are expected to manage their mobile devices and card hardware wallets in the app. We believe that this may require users’ mobile phones to have NFC payment function, and the mobile devices may refer to campus cards, watches and other devices.
In conclusion, the digital RMB (pilot version) wallet reflects some innovations and corresponding policy space of digital RMB. We suggest paying attention to its performance in Winter Olympics and other scenarios.
Investment advice Suggestions: 1. Security chip company: Unigroup Guoxin Microelectronics Co.Ltd(002049) , Huada electronics, etc; 2. Card dealer: Hengbao Co.Ltd(002104) , Chutian Dragon Co.Ltd(003040) , Wuhan Tianyu Information Industry Co.Ltd(300205) etc; 3. Equipment end: Newcapec Electronics Co.Ltd(300248) , Lakala Payment Co.Ltd(300773) etc; 4. Financial IT manufacturers: Shenzhen Forms Syntron Information Co.Ltd(300468) , Shenzhen Sunline Tech Co.Ltd(300348) etc; 5. Digital RMB related operating institutions: Industrial And Commercial Bank Of China Limited(601398) , Agricultural Bank Of China Limited(601288) , Bank Of China Limited(601988) , China Construction Bank Corporation(601939) , Postal Savings Bank Of China Co.Ltd(601658) , Alibaba, Tencent, etc; China Mobile, China United Network Communications Limited(600050) , China Telecom Corporation Limited(601728) .
Risk tip: the operation mode of digital RMB needs to be verified, and the promotion progress of digital RMB is less than expected.
