Former Deputy Governor of Bank of China: The policy orientation to accelerate the development of digital renminbi and resolutely curb virtual currencies, including stablecoins, has been clearly defined

Former Vice President of the Bank of China, Wang Yongli, published an article on his public account titled "Why China Firmly Stops Stablecoins?" In it, he pointed out that China's policy orientation to accelerate the development of the digital yuan and firmly curb virtual currencies, including stablecoins, has become completely clear. This is based on a comprehensive consideration of various factors, including China's leading advantages in mobile payments and digital yuan, the sovereignty security of the renminbi, and the stability of the monetary and financial system. The space and opportunities for developing non-U.S. dollar stablecoins are limited, as U.S. dollar stablecoins already account for over 99% of the global fiat stablecoin market value and trading volume.

He emphasized that, in the context of U.S. dollar stablecoins having a high share of the crypto asset trading market, developing renminbi stablecoins in line with U.S. dollar stablecoins would not only be difficult to challenge the international status of U.S. dollar stablecoins but could even turn renminbi stablecoins into a subsidiary of U.S. dollar stablecoins, posing a serious threat to the sovereignty security of the renminbi and the stability of the monetary and financial system.