Digital RMB dual-offline discussion, does the power outage guarantee payment?

On July 16, the People’s Bank of China released the “White Paper on China’s Digital RMB R&D Progress” (hereinafter referred to as the “White Paper”) on its official website to clarify the People’s Bank of China’s basic position on digital RMB research and development and comprehensively explain the digital RMB system. R&D background, target vision, design framework and related policy considerations.

However, the “dual offline” payment white paper that is generally concerned in the industry does not explain too much. It only means that it is cooperating with mobile phone manufacturers to study and provide new mobile payment experiences including dual offline transactions. Based on the smart visual card test, the hard wallet payment model separated from the mobile phone provides the possibility to bridge the “digital divide”.

So how do you understand “dual offline” payment? Is there more detailed information about it?

The manifestation of “dual offline”

The “dual offline” payment of digital renminbi means that the digital renminbi can still complete the payment even when the terminals of both parties are “offline” during the transaction process. It can meet the payment needs in special environments such as basements, parking lots, mountainous areas and even geographic disasters. At present, the dual offline payment of digital renminbi is implemented using NFC technology, and the devices of both parties need to have a hardware wallet function with a built-in security chip.

At present, the wallet form of digital renminbi can be divided into App wallet and hardware wallet, and the hardware wallet with built-in security chip is the key to realize “dual offline” payment. At present, it can be divided into three categories:

One is hardware wallets based on cards or wearable forms. At present, the video cards, Bluetooth cards, and wearable devices announced by the bank at many exhibitions are such products, and its new SE security products are built into cards or wearable devices. 

The second is mobile phones based on SE security chips. The SE security chip is built into the mobile phone, and its SE dominance is in the hands of mobile phone manufacturers. Therefore, digital RMB operators need to cooperate with mobile phone manufacturers to jointly promote the implementation of products. 

The third is a mobile hardware wallet based on the NFC-SIM card form. Its SE security chip is built into the SIM card, and its SE dominance is in the hands of telecom operators. Therefore, digital renminbi operators need to cooperate with telecom operators to jointly promote the implementation of products.

The main form of payment for dual offline is achieved through “touch and touch”, but there are usually many different forms of “touch and touch”. As a payment function of digital RMB, it is based on NFC to realize the communication between the terminal and the terminal. , The information interaction between the terminal and the label, so as to achieve the purpose of collection and payment.

Digital RMB dual-offline discussion, does the power outage guarantee payment?

Specifically, it includes a touch between a mobile phone and an NFC tag, a touch between a mobile phone and a mobile phone, and a touch between a mobile phone and a POS machine. Only mobile phones with hardware wallet functions, mobile phones and POS machines can realize dual offline payment functions.

Can “dual offline” meet common and universal needs?

Recently, due to heavy rains and floods in Henan Province, local people are faced with a primitive environment of disconnection and power failure, and this environment has also caused inconvenience in transactions, because the popularization of mobile payment and mobile Internet has made it difficult for many people to leave. There is no network environment. As a result, an interesting topic has emerged in the industry. Can the “dual offline” of the digital renminbi help such a disaster environment?

In fact, in the view of mobile payment network, it is difficult to meet the conditions of long-term use even though the dual offline payment of digital renminbi has encountered such a bad natural disaster.

On the one hand, although the dual offline payment of digital renminbi can realize the payment in the “offline without internet”, the collection device (reading) requires electricity. Although some handheld terminals or C2C mobile phones and card-type devices can realize self-service acceptance, the power of the devices is still limited. 

On the other hand, there is still a limit on the number of dual offline payments for digital renminbi. After the number is used up, it still needs to be synchronized on the Internet to continue to use it.

Digital RMB dual-offline discussion, does the power outage guarantee payment?

In addition, according to the understanding of the mobile payment network, the current hardware wallet specifications are still being revised and improved, so the specific rules for use in the future are not clear enough.

Regarding the limitation of the number of times of dual offline use, relevant industry insiders stated to the mobile payment network that on the one hand, due to the storage capacity of the hardware wallet, the capacity of the hardware wallet is currently relatively small, and the currency string and information need to be stored locally under the dual offline transaction. , Which leads to a limited number of tokens that can be stored, which indirectly affects the upper limit of the number of transactions.

On the other hand, due to the limited computing power of the hardware wallet chip under low power consumption, too many offline transactions will cause the transaction time to be too long, thereby affecting the transaction time and efficiency. This will greatly affect the experience of using the hardware wallet, so it needs to be optimized and polished on the overall plan, specifications, and product details.

Therefore, judging from the current usage situation, the dual offline payment of the digital RMB hardware wallet is only an emergency measure and supplementary method under special circumstances and situations, and is not a normal use tool in the general environment. It still needs to cooperate with the network. , Use in an environment with electricity. In addition, in order to avoid problems such as double spending, the traditional double offline payment environment would theoretically not exist. 

In the harsh natural disaster environment, what people can do is to ensure the safety of life and basic life first, and look forward to the moment when the network and hydropower are restored.


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