A street in Pingyao is crammed with tourists. MICHAEL RHYS CARD/CHINA DAILY

Enclosed within 6 kilometers of ancient walls, the city of Pingyao stands as one of China's most remarkable time capsules. Once the financial heartbeat of imperial China, the ancient walled city in Shanxi province now offers visitors something rare – not ruins, not reconstructions, but a living, breathing portrait of life as it was centuries ago.

Founded more than 2,700 years ago during the Western Zhou Dynasty (c.11th century – 771 BC), Pingyao rose to prominence in the Ming (1368-1644) and Qing (1644-1911)dynasties as a center of trade and finance. Its cobbled lanes and courtyard homes became the backdrop for an early form of modern banking that helped knit together the empire's vast economy.

At the heart of that history is Rishengchang Draft Bank, established in 1823 and widely regarded as China's first bank. From within its modest courtyards, Rishengchang created a revolutionary remittance system that allowed merchants to transfer funds across the country without carrying silver. In an age when moving money often risked robbery on open roads, Pingyao's system of trust-based drafts changed everything. The model spread quickly, transforming Shanxi merchants into some of the wealthiest and most influential traders of their time.

That innovation earned Pingyao its reputation as the "Wall Street of China". Dozens of draft banks operated here at the height of the Qing Dynasty, linking distant provinces and helping to finance the empire's growth.

Today, the city's legacy as a financial hub has faded, but its architectural and cultural heritage remains intact. Designated a UNESCO World Heritage Site in 1997, Pingyao is one of the few ancient cities in China to have survived almost completely unchanged. Its grid of narrow alleys, gray-brick homes, and watchtowers remains a vivid map of the Ming and Qing dynasties' urban planning; symmetry and order reflecting the Confucian ideals of harmony.

While many of China's historical sites now coexist with modern architecture, Pingyao offers a different experience: total immersion. Within the city walls, neon lights and glass towers give way to lanterns, tiled roofs, and centuries-old storefronts. Shops sell traditional vinegar and handmade paper, while residents still live and work in courtyard homes passed down through generations. The result is not a museum but a functioning community where tradition feels tangible.

That rhythm echoes the broader story of Shanxi itself, known as one of the cradles of Chinese civilization. The province's ancient temples, wooden halls, and cave sanctuaries chart the evolution of Chinese thought, from early Confucian values to the spiritual and artistic heights of later dynasties. Pingyao sits at the heart of that narrative – a microcosm of how commerce, morality and design intertwined to shape Chinese society.

Even as China modernizes at breathtaking speed, Pingyao's enduring authenticity has drawn growing attention. In recent years, improved rail connections and cultural festivals – such as the Pingyao International Photography Festival – have attracted visitors from around the world. Younger travelers, inspired by history-themed media and a renewed interest in cultural heritage, are rediscovering the city not as a relic, but as a living link to the nation's roots.

Local officials have worked carefully to balance preservation with tourism. Restoration projects focus on conservation rather than reinvention, allowing age and texture to remain visible – the cracks in a wooden beam, the faded brushstrokes of a wall mural. The goal is not to freeze the city in time, but to let it age gracefully.

Pingyao's growing popularity reflects a larger movement across China: a search for continuity amid change. For visitors, the city offers a perspective – a reminder of how China's modern achievements are built upon centuries of ingenuity, order, and community.

Whether you're a student of history, a photographer, or a traveler seeking authenticity, Pingyao offers more than nostalgia. It offers connection; a rare chance to walk through the corridors of China's past and find, within its weathered stones, the enduring spirit of a civilization that continues to shape the present.