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July 4, 2025

China’s JD.com and Ant Group Campaign for Yuan-based Stablecoins Amid Global Rise of US Dollar-pegged Tokens

"JD.com and Ant Group executives engaging with People's Bank of China representatives on a concept of Chinese Yuan-backed stablecoins against a digital backdrop of global currencies, predominantly the US dollar. Key features include a fusion of company logos, reminders of Chinese heritage, and a futuristic digital currency scene all rendered in brand-specific Orange (#FF9811), Dark Blue (#000D43), and Midnight Blue (#021B88). Image size is 1200 x 628 pixels."
E-commerce giant JD.com and fintech firm Ant Group, subsidiaries of Alibaba, are campaigning for the People’s Bank of China (PBOC) to support the establishment of stablecoins tied to the Chinese yuan. This move comes in response to the surging popularity of stablecoins pegged to the United States dollar. This push for more official support for cryptocurrency has major implications and is an interesting case study to observe.

The Appeal for Yuan-based Stablecoins

The companies have recently proposed the development of stablecoins backed by offshore yuan, which circulates external to mainland China. The intention is to introduce these stablecoins initially in Hong Kong. The firms assert that this action would bolster the yuan’s global trading role while curtailing the influence of the dollar. The call for support was made during private meetings with PBOC where JD.com executives stressed the urgent need for yuan stablecoins to foster the international use of the currency. JD.com and Ant Group are getting ready to request licenses for stablecoin operations in Hong Kong and Singapore. JD.com has even speculated about issuing yuan stablecoins out of Hong Kong and then extending pilot programs to China’s free trade regions. As per early feedback, regulators have responded positively.

Shifting Landscape of Global Payments Share

As of May, the yuan’s share of global payments slipped to 2.89%, the lowest in nearly two years while the dollar continues to dominate with a 48% share, according to data from payment platform Swift. Wang Yongli, a veteran of the industry and ex-deputy head of Bank of China, warned that yuan’s inability to perform efficient cross-border payments equivalent to dollar stablecoins represents a strategic risk for China.

Regulatory Changes in Hong Kong

Simultaneously, Hong Kong is actively defining regulations for stablecoins. The region unveiled its new digital asset strategy recently, which emphasizes stabilizing stablecoins and fostering asset tokenization through LEAP framework. It aims to provide legal clarity, ecosystem growth, real-world incorporation, and talent development. A licensure structure for stablecoin issuers is part of the proposed changes, starting from August 1. Such a system supports the evolution of real-world use cases of stablecoins.

The Global Stablecoin Landscape

Typically, stablecoins play an integral role in the cryptocurrency ecosystem, enabling seamless trading between cryptocurrencies and traditional fiat currencies. Globally, the stablecoin market cap is estimated to be over $258 billion, with all top 10 stablecoins pegged to the US dollar. The most prominent non-dollar stablecoin is EURC (EURC), indexed to the euro.

Shanghai Prepares for Digital Yuan’s Global Foray

Anticipation has been building in China with PBOC Governor Pan Gongsheng’s announcement of establishing an international digital yuan operations center in Shanghai. This is aimed at encouraging worldwide adoption of the digital yuan while decreasing global dependence on the US dollar. A vision for a multipolar currency system is under development where multiple currencies would buttress the global economy, diverting from the current situation where a few powerful currencies such as the US dollar and euro dominate the international financial system. The appeal for yuan-based stablecoins and developments in Shanghai underline the rising global importance of stablecoins and the shifting balance in the world economy. If successful, China’s efforts could play a transformative role in the global financial ecosystem. As such, these developments are important for a wide audience – from blockchain enthusiasts to economists watching the evolution of international currency dynamics.
James Carter

Financial Analyst & Content Creator | Expert in Cryptocurrency & Forex Education

James Carter is an experienced financial analyst, crypto educator, and content creator with expertise in crypto, forex, and financial literacy. Over the past decade, he has built a multifaceted career in market analysis, community education, and content strategy. At AltSignals.io, James leads content creation for English-speaking audiences, developing articles, webinars, and guides that simplify complex market trends and trading strategies. Known for his ability to make technical finance topics accessible, he empowers both new and seasoned investors to make informed decisions in the ever-evolving world of digital finance.

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