How will China respond to the shock wave of the US dollar stablecoin?

Written by: AIMan@Golden Finance

What is a hot topic in June 2025? That is definitely a stablecoin.

On June 6, 2025, the Hong Kong Gazette published an announcement announcing that the Hong Kong Stablecoin Ordinance will come into effect on August 1, 2025.

On the same day, Circle, the first US dollar stablecoin stock, was listed on the New York Stock Exchange at an issue price of US$31, with an increase of more than 160% on the first day and rose sharply to US$150 in the following days.

On June 17, the US Senate passed the GENIUS bill, and Web2 giants such as Amazon and Walmart were considering launching their own stablecoins, and Circle immediately rose sharply. As of press time, Circle has risen above $240. After 15 days of listing, Cirlce's stock price has risen by nearly 7 times.

Also on June 17, JD.com founder Liu Qiangdong made a strong comeback. During his comeback speech, Liu Qiangdong focused on the stablecoin.

Not only Liu Qiangdong, but the Governor of the People's Bank of China Pan Gongsheng also mentioned stablecoins for the first time at the annual Lujiazui Forum on June 18.

With the passage of stablecoin bills in Hong Kong and the United States, the crazy rise of Circle stocks, and the attention of Chinese top Chinese celebrities such as Liu Qiangdong and the central bank governor, it is obvious that stablecoins have become a hot trend.

How to deal with the strong impact of the US dollar stablecoin? People from all walks of life, including government officials, entrepreneurs, economists, national think tanks, securities companies, etc., had heated discussions on stablecoins. Related telephone conferences, articles, research reports, and speeches emerged one after another. It can be said that "the words are called stablecoins" , which triggered a lot of reflections and suggestions on the RMB stablecoin, the internationalization of the RMB and even the cryptocurrency.

It is the stablecoin that has made the mainstream Chinese official into facing cryptocurrencies. Some people even made a 360-degree turn towards it.

In order to fully understand the latest views and attitudes of mainstream people from all walks of life in China's political circles, business circles, academic circles, etc. on stablecoins and even cryptocurrencies, Golden Finance has specially compiled the speeches of people from all walks of life. From this we may be able to see China's future measures to deal with the impact of the US dollar stablecoin . as follows.

High-level government

The People 's Bank of China and the Hong Kong Monetary Authority: On the morning of June 20, the People's Bank of China and the Hong Kong Monetary Authority jointly held the launch ceremony of the fast payment system interconnection between the Mainland and Hong Kong (referred to as Cross- border Payment Connection). The Cross-border Payment Connection was officially launched on June 22. Directly connected to the Hong Kong fast payment system through the mainland online payment cross-bank clearing system "fast number transfer" to provide residents of the two places with efficient, convenient and secure cross-border payment services. (Analysts generally believe that this move may form a new RMB internationalization channel **for "domestic RMB

• cross-border payment access to Hong Kong - (Hong Kong dollar/RMB) stablecoin global circulation"** ) Source: The People's Bank of China and the Hong Kong Monetary Authority jointly held the launch ceremony of the cross-border payment access

Pan Gongsheng, the governor of the central bank, mentioned stablecoins for the first time: emerging technologies such as blockchain and distributed ledgers have promoted the vigorous development of central bank digital currencies and stablecoins , realizing "payment is settlement", reshaping the traditional payment system from the bottom, significantly shortening the cross-border payment chain, and posing huge challenges to financial supervision. Technology such as smart contracts and DeFi will also continue to promote the evolution and development of the cross-border payment system. Source: Several Thoughts on Global Financial Governance - The Keynote Speech by People's Bank of China President Pan Gongsheng at the 2025 Lujiazui Forum

Zhou Xiaochuan, former Governor of the Central Bank: The dollar stablecoin may further promote the dollarization phenomenon due to the strong support of the US dollar system behind it, and is more likely to have a global impact. We must always be vigilant. In-depth research is needed to examine the potential impact of dollarization on different economies, especially in countries that have not yet been struggling with high inflation or high debt, whether dollarization is really suitable for them. Source: Zhou Xiaochuan: US dollar stablecoins may assist in the US dollar transformation

Chan Mo-po, Hong Kong Financial Secretary: Hong Kong's steady and prudent promotion of stablecoin development reflects Hong Kong's functions as a "firewall" and "test field" under "one country, two systems" , providing experience and reference for national financial development. Hong Kong has adopted a more open model, allowing licensed issuers to choose different fiat currency currencies as anchor fiat currency for issuing stablecoins. Source: Director's Essay

Xu Zhengyu, Secretary for Financial Affairs and Treasury of Hong Kong: The Hong Kong Stablecoin Ordinance allows different legal currencies to be used as the base benchmark for stablecoins. From a regulatory perspective, the possibility of stablecoins being pegged to RMB cannot be ruled out. If you want to do it, you must take into account the exchange rate and monetary policy of the entire country. Source: Xu Zhengyu: Hong Kong regulations do not rule out the possibility of stablecoins being pegged to RMB

Investors and entrepreneurs

Liu Qiangdong, founder of JD Group: JD will apply for stablecoin licenses in major currencies around the world. Through stablecoin licenses, exchanges between global enterprises can be achieved, cross-border payment costs around the world can be reduced by 90%, and efficiency can be increased to within 10 seconds. I hope that one day when everyone consumes around the world, JD stablecoin can be used as a global payment method . Source: Full text of Liu Qiangdong's small-scale exchange meeting

Mai Gang, Angel Investor: At present, the introduction of the US dollar stablecoin bill is another important means of international currency competition. Now countries around the world are worried about the US debt repayment ability. The issuance of US dollar stablecoins provides huge purchasing power for US bonds. The United States' strength lies in its turn of crisis into opportunity many times and even changes the rules of the game. It is recommended that relevant Chinese departments should take immediate action, formulate relevant systems and bills, and promote the issuance of stablecoins overseas. Because the globalization of the RMB is a major long-term strategy that concerns the well-being of the Chinese people . The circulation of physical goods made in China around the world is the strength of China's national strength, but please remember that currency is also a special and highest level of goods. This is the basic knowledge that undergraduate tutorials tell us. I think this is the so-called combination of soft power and hard power. Source: 2013 Prophecy: Mai Gang talks about Bitcoin, currency war and the internationalization of the RMB

Liu Peng, CEO of JD Coin Chain Technology: We expect to obtain a license in the fourth quarter of this year and launch JD stablecoin at the same time. We expect that international trade in Asia-Pacific, Middle East, Africa, South America and Europe may be the first to use stablecoins issued in Hong Kong for payment and settlement. At the product technology level, there is little difference between issuing offshore RMB stablecoins and Hong Kong dollar stablecoins. Whether the offshore RMB stablecoin can eventually become a bank still depends on mainland supervision. Source: Ten Questions CEO of JD Coin Chain: When will JD Stablecoin be launched?

Xiao Feng, Chairman of Wanxiang Blockchain: China's cross-border e-commerce is an important beneficiary of the cross-border payment dividend of stablecoins . Stablecoins are far from being a simple "crypto-world dollar". They are reshaping the form of value exchange with their powerful technical attributes and are expected to become a key hub connecting reality and virtuality, the present and the future, and humans and the machine economy. Its development process will profoundly affect the global financial landscape and the future direction of the digital economy. Source: Xiao Feng: The future picture from distributed ledger to stablecoins

The goal of the US dollar stablecoin is to maintain the global mainstream currency of the US dollar. Its impact on China is multidimensional and is already in a stage where it must be actively responded. China may consider using Hong Kong as a test field to carry out an offshore RMB stablecoin pilot program and explore its synergy mechanism with the central bank's digital currency. Source: Stablecoins: A new stage of currency evolution

Economists and national think tanks

" China Economic Times" Stablecoin Special Planning: "China Economic Times" hosts newspapers for the Development Research Center of the State Council

Shen Jianguang, chief economist of JD.com Group: Developing RMB stablecoin is a means to deal with the new US cryptocurrency policy and a new tool to accelerate the internationalization of the RMB. It is better to launch offshore RMB stablecoin as soon as possible in Hong Kong, sooner rather than later. The development of stablecoins has extremely strong scale effect and network effect, and it is very difficult to send stablecoins later to catch up with the first stablecoins. Source: Promote the internationalization of RMB with offshore RMB stablecoin

Deng Jianpeng, professor at the Central University of Political Science and Law: Global crypto asset supervision is shifting from the past to the "wild growth" to the current "rule reconstruction". Faced with this trend, China needs to adhere to the bottom line of financial security to avoid missing out on the technological revolution opportunities due to policy lag, actively participate in rule formulation, and master the right to speak. Source: Deng Jianpeng: Regulatory trends of global crypto assets and China's response ****

Li Yang, former vice president of the Chinese Academy of Social Sciences and chairman of the National Finance and Development Laboratory: The United States promotes stablecoin legislation, and its legislative purpose clearly serves the interests of the US dollar. The stablecoin mechanism cleverly transforms the expansion of the crypto market into an extension of the influence of the US dollar on the chain.

We should pay attention to the development of stablecoins. Faced with the stablecoin wave, China needs to advance in both directions . On the one hand, we must firmly promote the internationalization of the RMB, and on the other hand, we must see that the integration and development trend of stablecoins, cryptocurrencies and the traditional financial system will be difficult to reverse.

In terms of development path, Hong Kong should make full use of favorable conditions, rely on its financial center status and existing institutional foundation, develop offshore RMB stablecoins , and build a controllable international payment channel. We should also create conditions to take advantage of Shanghai's position as an international financial center to actively and steadily develop the RMB stablecoin . Source: Li Yang: Faced with the stablecoin wave, China needs to move forward in both directions

Yang Tao, Deputy Director of the National Finance and Development Laboratory: In the face of the global stablecoin market and regulatory trends, China should first promote stablecoin-related legislation as soon as possible. In the medium and long term, it can also study and explore the overall legislation on cryptocurrency supervision, and build the "long-arm jurisdiction principle" of China's Web3 finance in a layered and staged manner . In the short term, my country's stablecoin exploration should focus on RMB stablecoins and gain a place in the global fiat-collateralized stablecoin market as soon as possible. Source: Understanding the theoretical and practical logic of RMB stablecoin

Shen Jianguang, chief economist of JD.com, published an article by the financial magazine under the Joint Office (formerly the "Joint Office of Research and Design of the Stock Exchange"): It is recommended that China combine national conditions and first support the Hong Kong Special Administrative Region to pilot the launch of offshore RMB stablecoins as soon as possible. Then, in accordance with the gradual model of "offshore overseas first and then offshore domestically", promote the development of offshore RMB stablecoins from the Hong Kong Special Administrative Region to the mainland free trade zone and free trade port, providing a new engine for the internationalization of the RMB. Source: Shen Jianguang, Zhu Taihui, Wang Ruohan, Intention and Inspiration of the US Stablecoin Act

Zhang Ming, Deputy Director of the Institute of World Economics and Politics, Chinese Academy of Social Sciences : The development of the US dollar stablecoin may enhance the position of the US dollar in global currencies. Other countries should attach great importance to and respond actively, and develop their own stablecoins or central bank digital currencies as soon as possible to ensure that they do not lag behind in the wave of digital currency competition. Source: Zhang Ming: We should attach great importance to the development situation of global stablecoins

Shanghai Development Research Foundation: The Trump administration vigorously promoted the legislation of the US dollar stablecoin in its second term. Its intention was not to promote financial innovation alone, but to multiple strategic considerations, including trying to maintain the dominance of the US dollar, compete for the dominance of distributed financial rules, and provide new channels for US debt demand. It is currently not feasible for China to issue and use RMB stablecoins in China. It is of positive significance to issue offshore RMB stablecoins overseas. In order to steadily promote the development of RMB stablecoins, it is recommended to adopt the model of "offshore overseas first, offshore domestically, and progress gradually" . Source: Seminar: About Global Stablecoins and RMB Stablecoins

Liu Xiaochun: Former Governor of Zhejiang Commercial Bank and Vice President of Shanghai New Finance Research Institute: If China issues RMB stablecoins, its primary purpose should not be to compete with US dollar stablecoins, but to serve the development of emerging economies and the internationalization of the RMB. Source: What is the key to the success of stablecoins?

Wang Yongli, former vice president of Bank of China: The stablecoins and crypto assets have become a must-fight and battle between large merchants and even countries. China needs to adjust its relevant policies on crypto assets and stablecoins , and at least it should actively participate in the development of crypto assets and stablecoins overseas, accelerate the improvement of its international competitiveness, and enhance the influence of international cooperation in this field. Source: The accelerated development of the US dollar stablecoin brings profound warning

Brokerage

CICC: The Hong Kong Stablecoin Act allows the issuance of non-USD stablecoins, which can expand the use of non-USD currencies in international payment, settlement, investment and financing scenarios, and accelerate the internationalization process. In short, the Hong Kong Stablecoin Act has a profound impact on the internationalization of currency. Source: CICC: Potential Impact of Stablecoins on the Financial System

China Securities: At present, stablecoins are amplifiers of the circulation capacity of the US dollar. Stablecoins have not challenged the credit entity of the US dollar, but are quietly rewriting the circulation path of the US dollar, the choice of capital landing and the pricing method of global capital - this is a revolution about "path" rather than "currency". Stablecoins have not subverted the dollar's monetary status, but it is changing the way the dollar plays a global role. This is a quiet change in the way the US dollar system operates, and the impact may be more profound than what is seen on the surface. Source: From US dollar hegemony to US dollar opening: How do stablecoins reconstruct global funding paths?

CICC: Stablecoins, as cryptocurrencies anchoring the prices of fiat currency or other asset prices, are gradually evolving into new financial infrastructure, playing an important role in payment, cross-border settlement, digital asset transactions, DeFi and other fields, and playing a role in reconstructing the international financial system. Source: Stablecoin: Reconstructing the international financial system

Huatai Securities: The United States and Hong Kong, China, have a positive attitude towards the formulation of regulatory rules for stablecoins. Stablecoins are regarded as an important part of the future digital financial infrastructure . Both hope to further expand the influence of legal currency and consolidate their respective financial centers by correctly managing stablecoins. Source: Diversified Finance: Ten Questions Stable Coin

Galaxy Securities: China is expected to launch RMB stablecoin in the future. First of all, the launch of the US dollar stablecoin will suppress "weak" currencies, and the RMB needs to improve its own usage scenarios. Secondly, China's globalization process will inevitably need to join the on- chain financial system. Again, a strong country needs strong finance. Strong finance also needs to gain a foothold in the on-chain financial field. Finally, it will still take a long time for the RMB to surpass the US dollar under the traditional framework, and the blockchain monetary system gives the RMB the opportunity to overtake on the curve. Source: Zhang Jun: Stablecoin walks out of the jungle

China Merchants Macro: Stablecoins have intervened in the competition and reshaping of the international monetary system at a deep level, becoming a strategic tool for China and the United States in the currency competition in the digital economy field. The US dollar stablecoin continues to consolidate the global monetary hegemony of the US dollar. The Hong Kong dollar stablecoin and the offshore RMB stablecoin provide a new path to the internationalization of the RMB , which will become a major breakthrough in promoting the internationalization of the RMB and provide an important carrier for the reconstruction of RMB assets. Source: The essence and investment value of stablecoins