JD.com and Ant Group Push Yuan Stablecoins to Challenge Dollar Dominance
China’s Tech Giants Eye Stablecoins to Boost Yuan’s Global Role
JD.com and Ant Group are stepping into the stablecoin arena with a bold ambition: to reduce global reliance on the U.S. dollar by promoting yuan-backed digital tokens. According to sources cited by Reuters, both companies are lobbying Chinese regulators to approve offshore yuan stablecoins—starting in Hong Kong and potentially expanding to China's free trade zones.
The move comes amid growing concern in Beijing over the dominance of U.S. dollar-pegged stablecoins in global trade and cross-border finance. Executives from JD.com reportedly told the People’s Bank of China (PBOC) in recent closed-door meetings that stablecoins backed by the Chinese yuan are "urgently needed" to support the currency’s international use.
Yuan's Slipping Share and Strategic Pressure
Their push follows a dip in the yuan’s global transaction share, which fell to 2.89% in May—its lowest level in nearly two years. The U.S. dollar, meanwhile, continues to dominate, accounting for roughly 48% of all global payments, according to SWIFT data.
Industry veteran Wang Yongli, a former deputy governor of the Bank of China, has warned that lagging behind in efficient cross-border yuan payments poses a strategic vulnerability for China. He pointed to the speed and reach of dollar-based stablecoins as a key threat to the yuan’s competitiveness in the digital age.
Why Stablecoins Matter
Stablecoins—digital tokens pegged to traditional fiat currencies—play an increasingly central role in crypto and global finance. The stablecoin market is currently valued at over $258 billion, with every top 10 token pegged to the U.S. dollar. The largest non-dollar stablecoin, EURC (pegged to the euro), ranks 11th by market cap, highlighting the outsized influence of the dollar in the space.
For China, launching a successful yuan-backed stablecoin could be a game-changer, offering a practical alternative to dollar-dominated tokens for international settlements and trade.
A Race for Stablecoin Regulation
Hong Kong has emerged as a strategic testing ground. The city recently unveiled a new digital asset framework—dubbed “LEAP”—that focuses on stablecoin regulation and real-world adoption. Under the plan, a formal licensing regime for stablecoin issuers will go into effect on August 1, aimed at creating legal clarity and encouraging innovation.
JD.com and Ant Group are reportedly preparing to apply for these licenses in both Hong Kong and Singapore. JD.com founder Liu Qiangdong has stated publicly that the company plans to apply for stablecoin licenses “in all major sovereign currency countries.”
China’s Bigger Vision: A Multipolar Financial World
China’s central bank has signaled its intent to expand the global footprint of the digital yuan. In June, PBOC Governor Pan Gongsheng announced the creation of an international digital yuan operations center in Shanghai, describing China’s vision for a “multipolar” financial system—one in which no single currency dominates.
This vision reflects a growing desire among Chinese officials and businesses to build alternatives to U.S.-centric financial infrastructure, especially as digital assets reshape global capital flows.