Alipay has been offering residents of China the chance to use fiat currency for everyday transactions, seemingly acclimating them for the day both payment and currency become 100% digital.
China Central Bank Flexes its Regulatory Muscles on Crypto
Although China has taken a somewhat more permissive stance toward online and digital payments recently, it has mostly responded to the rise of cryptocurrency with more authoritarian measures. After it was clear millions of Bitcoin were being mined by Chinese nationals, the government responded by prohibiting all cryptocurrency trading in the country as of September 2017.
Despite the Chinese government's hardline stance toward cryptocurrencies, the country has also shown interest in blockchain technology and developing a central bank digital currency.