Despite the less than sparkling picture, PBoC announces new framework for digital yuan CBDC
Crypto markets were fairly muted over the festive season, hovering around $3 trillion total market capitalization.
Bitcoin, which currently makes up nearly two-thirds of the total market capitalization, remains range-bound between the $85,000 support level and $90,000, seemingly in need of a catalyst to drive prices higher, writes Simon Peters, cryptoasset market analyst at multi-asset investment platform eToro.
There’s not too much in the way of economic data this week to be that catalyst, however we do have the minutes of the recent Fed meeting being released on Tuesday, which will provide more insight into policymakers expectations for future cuts to interest rates.
It’s been a difficult year for cryptoassets. Although bitcoin did see a new all-time high, it has reversed those gains and is, at this moment in time, trading lower than where we started the year.
Looking forward into 2026, with financial conditions globally set to ease further, regulatory advancements, potential spot ETF approvals and inflows and more publicly traded companies forming digital asset treasuries, it could be a better year.
THE BIGGEST MOVERS WERE
$ZEC has been one of the biggest movers over the last seven days, up 17%, continuing its rebound from the low seen on 2nd December.
Currently trading at $520, ZEC has been one of the best performing cryptoassets this year, up 820% as interest in privacy cryptos has returned.
Discover more here: https://www.etoro.com/discover/markets/cryptocurrencies/market-movers
EYE-CATCHING STORIES
PBoC announces new framework for digital yuan CBDC
The People’s Bank of China announced on Monday that it will be implementing a new framework – set to take effect on 1st January 2026 – for its digital yuan CBDC central bank digital currency e-CNY.
The new framework will standardize how the PBoC tracks digital yuan circulation, usage, and system performance. It is also allowing commercial banks to pay interest on digital yuan balances, which could boost adoption of the e-CNY and integrate it further into the current banking system.
The plan also notes establishing an international operation center in Shanghai to further promote ‘multilateral central bank digital currency bridges’.
The PBoC began researching digital currencies in 2014, with the e-CNY launching in 2022 after years of pilot programmes.
As of the end of November 2025, the digital RMB had processed 3.48 billion transactions, with a cumulative transaction amount of RMB 16.7 trillion (approximately $2.37 trillion). 230 million personal wallets and 18.84 million corporate wallets have been opened through the digital RMB app, the press release went on to say.
