Chinese city Changzhou is set to give away digital yuan tokens and coupons worth over CNY5 million (about USD762,000) as a part of its citizen reward programs. The prizes are part of the city government’s “Bi Fan” program, which incentivizes citizens to pursue a healthy lifestyle through physical activity via activities such as sports or purchase of necessities.
The digital yuan tokens will be distributed in the form of rewards from local businesses for activities such as sports, health, and charity. Changzhou plans to test the use of the digital yuan tokens in local businesses such as large-scale supermarkets, coffee shops, and shopping malls, and claims the use of the tokens will help the local economy by encouraging greater spending.
In addition, coupons worth up to CNY2,000 each will also be given to citizens as rewards for participating in the Bi Fan program. If the trial in Changzhou is successful, many other cities in China are likely to begin similar programs.