On June 28, the digital yuan's "touch-and-go" fare payment pilot expanded to cover Shanghai's entire metro network (including suburban lines). Passengers can now use various forms of digital yuan hardware wallets—including IC cards, SIM cards, and mobile Pay—to quickly pass through turnstiles at any station by simply tapping their devices.
Key Features of the Expansion
- Cross-platform compatibility: Supports interoperability between different issuers, allowing wallets from any authorized operator to work seamlessly
- Tourist-friendly access: International visitors can obtain digital yuan hardware wallets at ports, airports, hotels, and transportation hubs via self-service terminals
- Privacy protection: Anonymous usage doesn't require identity linkage, ensuring foreign visitors' data security
- Metro coverage: Now available across Shanghai's 896km network with 517 stations handling over 77% of the city's public transport volume
Industry analysts note this upgrade significantly improves convenience for international arrivals, enabling smoother access to Shanghai's cultural, commercial, and entertainment destinations while strengthening the city's business environment.
Digital Yuan Hardware Wallet Advantages
The system's hardware wallets are gaining popularity due to:
- Low usage barriers
- Broad demographic coverage
- Extensive application scenarios
- Offline functionality (works without internet/power)
Similar systems are already operational in Qingdao Metro, Suzhou transit systems, and Hainan buses.
Shanghai Maglev Pilot Precedents
The initial pilot launched on June 14 along the Shanghai Maglev Line through collaboration between:
- Shanghai Metro
- China UnionPay
- Bank of Communications
- Major card networks (Visa, Mastercard, Amex)
- Digital Currency Research Institute of PBoC
Supported payment methods included:
- Contactless bank cards with small-amount免密支付
- Mobile Pays compliant with financial IC卡 standards
- Various digital yuan hardware wallet formats (IC cards, mobile Pays, SIM卡, wearables)
The Maglev Line—often international travelers' first urban transit experience—implemented an entry-deduction model where fares are immediately charged upon tapping in.
Nationwide Scenario Expansion
Multiple regions are actively developing digital yuan applications:
Shanghai (April 2024)
- Joined the m-CBDC Bridge project
- Supports cross-border digital currency innovation
Shandong Province
- Expanding digital yuan use cases
- Implementing consumer appliance/vehicle trade-in subsidies
- Delivering惠民政策 funds via digital yuan
Zhejiang Province
- Launching "digital yuan + flagship stores" pilots
- Enhancing payment convenience for premier retail locations
"While challenges remain in user adoption and cross-border interoperability, integrating sovereign currency authority with flexible scenario需求 demonstrates digital yuan's full potential," noted one analyst.
FAQ Section
Q: How do international visitors obtain digital yuan hardware wallets?
A: Through self-service terminals at transportation hubs—no local bank account required.
Q: Can the wallets be used offline?
A: Yes, most hardware wallets function without internet or power.
Q: Which other Chinese cities support digital yuan transit payments?
A: Current implementations include 👉 Qingdao and Suzhou metro systems, with more cities expected to join.
Q: Are there transaction limits for touch-and-go payments?
A: Yes, small-amount免密支付 applies (typically under 200元 per transaction).
Q: How does this compare to mobile payment apps like Alipay?
A: Digital yuan offers sovereign currency guarantees and offline functionality that third-party apps cannot provide.
Q: Will this system expand to other transport modes?
A: Authorities are evaluating 👉 broader applications following successful metro implementations.