Central Bank Digital Money Patent Layout: Research Institutes Lead, Alipay and ICBC Accelerate Follow-up

As the Central Bank emphasizes the advancement of the development of legal Digital Money again, the digital currency sector has shown active performance recently. Industry insiders believe that the Central Bank's digital currency may accelerate its launch after the pandemic, which will bring a series of demands such as banking system upgrades and hardware and software transformations.

It is reported that the Central Bank Digital Money Research Institute has obtained 76 related patents, plus an additional 10 patents under review, totaling 86. Since the end of 2019, the institute has announced key patents related to the recovery, issuance, circulation, and generation of digital money. This indicates that the technical preparations for the issuance of Central Bank Digital Money may have been basically completed.

Apart from the Central Bank, some financial institutions and tech companies are also preparing for the launch of digital money. Alipay recently announced five patents related to Central Bank digital currency, covering aspects such as issuance, transaction records, and digital wallets. Industrial and Commercial Bank of China, as a representative of state-owned banks, has maintained a leading position in digital currency patents, particularly making breakthroughs in the key feature of dual offline payments.

Other financial institutions such as China Construction Bank, Agricultural Bank of China, and Bank of China have also made arrangements in the blockchain field. Telecom operators and technology companies such as Huawei are also involved in research and cooperation related to Digital Money.

It is worth noting that although blockchain technology initially inspired the concept of Central Bank Digital Money, the central banks currently state that they do not preset a technological path and do not necessarily have to adopt blockchain technology. The Bank of England holds a similar view. This means that the final technical solution for Central Bank Digital Money is still to be determined.

With the advancement of Central Bank Digital Money projects in various countries, the technological innovation and industrial layout in this field will become increasingly intense. The specific implementation timeline and plan for China's Central Bank Digital Money deserve continuous attention.