Chinese tech giants continue to push for greenlight on yuan-pegged stablecoin
The post Chinese tech giants continue to push for greenlight on yuan-pegged stablecoin appeared on BitcoinEthereumNews.com.
China’s tech firms JD.com and Ant Group have proposed to the country’s central bank to allow the launch of stablecoins in Hong Kong pegged to its offshore yuan. Both companies believe the initiative will promote global use of Chinese currency and counter the growing U.S. dollar-linked digital assets. The Bank for International Settlements reported that over 99% of stablecoins are U.S. dollar-dominated. On-chain data shows that the global stablecoin market is roughly $247 billion, with the Standard Chartered Bank forecasting that it could surge to around $2 trillion by 2028. China aims to compete in the stablecoin sector JD.com and Ant Group are advocating for China to establish stablecoins in their offshore yuan to compete with the rising growth of U.S. dollar-linked virtual assets. China had banned cryptocurrencies in 2021, but the companies’ initiative could change Beijing’s view on pushing for the global use of the yuan. Hong Kong is also planning to establish a regulatory framework for stablecoins to compete with the U.S. in global trade and digital finance. Hong Kong’s new Stablecoin Ordinance legislation, which will take effect from August 1, will give both Chinese tech giants the chance to issue stablecoins backed by the Hong Kong dollar. JD.com and Ant have allegedly talked with the People’s Bank of China and argued that offshore yuan-pegged digital assets have the potential to promote the globalization of the yuan. If China doesn’t develop stablecoins, it will essentially withdraw from the competition for next-generation global currency dominance and hand it to others.” -Shen Jianguang, Chief Economist at JD.com. JD.com founder Richard Liu told his staff that the firm wants to apply for stablecoin licences in all major markets to cut cross-border payment costs by 90% and reduce settlement times to under 10 seconds. Ant Group is also preparing to apply for…
Filed under: News - @ July 3, 2025 2:21 pm