China's digital yuan progress heats up competition for future of money

Use of e-CNY soars over 800%, driven by government, while US pushes stablecoins

China is promoting its central bank-led digital yuan, or e-CNY, which has shown strong but largely government-led growth so far. © Reuters

LORRETTA CHEN

February 27, 2026 12:06 JST

HONG KONG -- China is pushing a centralized digital currency in a direct challenge to the U.S.-dominated global monetary system, with analysts watching whether adoption of the digital yuan picks up this year following major milestones in its development.