The People's Bank of China ("PBC") has recently issued the announcement [2018] No.10 to further regulate the selection and application of payment methods by economic subjects in the society.
The announcement states that Renminbi, including banknotes and coins (collectively as the "cash"), is the legal tender of the People's Republic of China. Any entity or individual shall not refuse to accept cash through any standard clauses, notices, declarations or bulletins, except in circumstances where it is required to make non-cash payments under the law. Also, the announcement states that it is encouraged to adopt secure and lawful non-cash payment methods on the premise that cash payment is accepted. It is allowed to adopt non-cash payment methods when commodities or services are offered through such information networks as the internet or unmanned sale and the statutory duties are performed, upon consensus reached on a voluntary, equal, fair and honest basis, and conditions do not permit to accept cash. Furthermore, the announcement clearly specifies that any entity or individual breaches the law or regulation by rejecting or taking actions to discriminate against cash, it or he/she shall make corrections within one month from the issue date of this announcement.