ICBC President: Digital Currency Value Depends on Credit, Not Algorithms

At the first Digital RMB Annual Conference held during the 2026 Financial Street Forum, Liu Jun, President of the Industrial and Commercial Bank of China (ICBC), addressed the fundamental role of trust in the evolution of digital finance. He argued that while technological innovation provides the infrastructure for Central Bank Digital Currencies (CBDCs) and other digital assets, the core value of money remains rooted in institutional credit and regulatory accountability rather than algorithmic design alone.

The Limits of Technological Trust

Liu Jun emphasized that technology serves as a reinforcement for trust but cannot act as its replacement. He cautioned against relying on "impenetrable technological black boxes" where the absence of transparent regulation makes credit systems fragile. For a digital currency to achieve stability, it must be backed by a clear realization of responsibilities and robust asset pegging.

• Algorithm Transparency: Code alone cannot establish a sustainable credit system without oversight.
• Regulatory Compliance: Digital assets require synchronized global coordination to prevent value volatility.
• Real Economy Focus: Innovations like the tokenization of real-world assets (RWA) must prioritize serving tangible economic sectors.

RMB Internationalization and Global Discourse

Regarding the international status of the e-CNY and cross-border settlements, the ICBC President noted that technological superiority does not automatically grant a currency global dominance. He stated that the discourse power of a digital anchor currency is a reflection of a nation's comprehensive strength. To advance the internationalization of the Renminbi in the digital era, the market must integrate diverse participants and implement advanced Regulatory Technology (RegTech).

Whether digital currency can become money hinges not on the algorithm design itself, but on how credit is supported and realized, and how responsibilities are implemented.

In conclusion, the leadership of ICBC maintains that the digital transformation of the monetary system must be balanced with traditional financial principles. As the blockchain and digital currency sectors continue to expand, the transition from experimental technology to a reliable global financial tool will necessitate a synergy between innovative DLT (Distributed Ledger Technology) and established sovereign credit frameworks.