Aren't China trying to eliminate competition for their Digital Yuan, that's why they crack down on mining in the country because they want to make sure that Digital Yuan will do good? I don't get how they don't say that they want to do it because they want to reduce carbon contribution, most articles don't even mention it.
Yes, because that, they will easily understand unlike a foreign currency they know nothing about. It will be difficult for the government to bring knowledge to the whole nation of China in regards with cryptocurrency.
The easiest path would be the same currency (yuan) but just upgraded. (digitized)
There won't be need for long explanations about it. It's the same as their paper money but there is just no physical attribute anymore.
I think that's also the point of OP. Teaching 1.4 billion people is way difficult than just suggesting the same thing, just version 2.0.