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 functions and cooperate with relevant market players to further develop various payment and financial products. This will help build a wallet ecological platform that can meet the needs in multiple scenarios and enable their respective special functions.

3.5 Defining obligations and entities of compliance

3.5.1 Obligations in AML/CFT compliance

As e-CNY is China's fiat currency, existing international standards and Chinese laws on AML/CFT apply. Authorized operators and other commercial institutions providing e-CNY exchange and circulation services are entities to perform AML duties and thus undertake AML obligations accordingly, including customer due diligence, keeping customers' identity data and records of transactions, and reporting large-value and suspicious transactions. While performing AML duties, authorized operators and other commercial institutions should protect business secrets, individual privacy and personal information in line with laws, and should not divulge customers' identity data or records of transactions. The PBOC, as the competent administrative authority for AML, conducts AML regulation by urging all parties concerned to fulfill their AML obligations and supervising the fulfillment accordingly.

3.5.2 Protection of consumers consumers' rights and interests

The division of responsibilities for and the job of protecting consumers' rights and interests in the e-CNY system are the same as that of cash. The PBOC and authorized operators are responsible for authenticating e-CNY via its certificate and serial number. Authorized operators properly handle possible disputes and customer's loss according to relevant dispute settlement mechanisms. The PBOC protects the rights and interests of consumers in e-CNY exchange and circulation through regulatory evaluation.

3.6 Selection of technology roadmap

The selection of technology roadmap of e-CNY features long-term evolution, constant iteration and dynamic upgrading. Regular evaluations based on market needs are carried out for continuous improvements. Authorized operators may select their own technology roadmaps based on their actual demands and technological advantages, so as to maintain the insight and foresight into future technology.

The e-CNY system adopts a distributed and platform-based design, which enhances the resilience and expansibility of the system and supports the rapid growth in the volume of e-CNY transactions. To ensure the reliability and soundness of the system, the PBOC uses a mix of technologies such as trusted computing and special encryption based on hardware and software integration. The PBOC also builds up multi-layer security systems and design a data center solution featuring multisite high availability and 24/7 non-stop services, thus guaranteeing city-level disaster tolerance and business continuity.

The e-CNY system combines centralized architecture with distributed architecture,