JD.com and Ant Group are lobbying the People's Bank of China (PBOC) to approve yuan-based stablecoins aimed at enhancing the yuan's global role and diminishing the influence of US dollar-pegged tokens. They are advocating for the issuance of offshore yuan in Hong Kong, which, they argue, would reinforce the yuan's position in global trade. JD.com has plans to seek stablecoin licenses in Hong Kong and Singapore, proposing to initiate stablecoin issuance in Hong Kong before expanding to China's free trade zones. This push comes as the yuan's share of global payments declined to 2.89%, with the dollar holding a substantial 48% share. Industry experts suggest that inefficient yuan cross-border payments could pose a strategic risk for China if not addressed. Hong Kong is also advancing its framework for stablecoin regulation, set to implement a licensing regime starting in August. JD.com's founder has expressed intentions to apply for stablecoin licenses in major sovereign currency markets internationally.

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