Caixin: Starting January 1, 2026, digital yuan wallet balances will accrue interest.

On December 29th, according to Caixin.com, the digital yuan will undergo an upgrade. Starting January 1, 2026, wallet balances will accrue interest. Without changing the two-tier operating structure, digital yuan held by banking institutions will move from off-balance-sheet to on-balance-sheet, changing from 100% reserves to partial reserves; non-bank payment institutions will implement a 100% digital yuan margin. Banking institutions will pay interest on customers' registered digital yuan wallet balances, adhere to the self-regulatory agreement on deposit interest rate pricing, and can independently manage the assets and liabilities of their digital yuan wallet balances, with deposit insurance providing the same security guarantees as deposits. For non-bank payment institutions, the digital yuan margin is no different from their customer reserve funds. (Source: Caixin.com)