China go dey pay interest on digital yuan as US dey consider to limit stablecoin rewards

China go start dey pay interest for balances wey dem dey hold for im central bank digital currency (digital yuan / e-CNY) from Jan 1, 2026. Six big state-owned banks go dey calculate and distribute the interest based on each bank demand-deposit rate. People’s Bank of China (PBOC) talk say the e-CNY system don process 3.48 billion transactions worth 16.7 trillion yuan up to November and dem dey present interest as way to make people use am instead of private payment platforms (Alipay, WeChat Pay). The policy dey reclassify e-CNY from digital cash to something wey resemble deposit, e go join bank balance sheets, deposit insurance, and other banking services; anonymous class-4 wallets go remain no-get-interest. People dey see the move as both domestic payment modernisation and geopolitical step to make yuan better store-of-value and for cross-border use. The announcement match with active US policy debate about whether stablecoin issuers fit give rewards or interest (including bills wey Senate Banking Committee dey review and proposals like the GENIUS Act). Industry voices — including Coinbase executives — dey warn say if dem block rewards on US-issued stablecoins, e go weak dollar competitiveness against interest-bearing CBDCs, while some banks dey fear interest-bearing stablecoins fit put pressure for deposit margins. For traders: expect possible shifts in payment flows, small increase in demand for e-CNY as low-yield store-of-value, and renewed focus on US regulatory outcomes wey fit change stablecoin yield products. Primary keywords: digital yuan, e-CNY, CBDC interest, stablecoin rewards, People’s Bank of China.