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JD.com and Alibaba’s Ant Group are pushing for the People’s Bank of China (PBOC) to approve the launch of a stablecoin pegged to the yuan in Hong Kong in an effort to challenge the dominance of US dollar-backed stablecoins.
The two tech giants said that greenlighting a yuan-backed stablecoin could limit the dollar’s influence in global trade, according to a July 3 Reuters report that cited sources familiar with the matter.
JD.com And Ant Group Apply For Stablecoin Licenses
According to the report, JD.com and Ant Group are currently preparing to apply for stablecoin licenses in both Hong Kong and Singapore.
JUST IN: 🇨🇳🇺🇸 China’s tech giants like Alibaba’s Ant Group are urging the central bank to authorise Yuan-based stablecoins to counter the growing influence of USD stables – Reuters
The battle is ON! pic.twitter.com/qNYgG0k4UC
— Radar 𝘸 Archie🚨 (@RadarHits) July 3, 2025
JD.com has also reportedly proposed that yuan stablecoin issuance start in Hong Kong before pilots begin in China’s free trade zones. Early feedback from regulators for this proposal have been positive, the report said.
Yuan’s Share Of Global Payments Shrinks
The call for a yuan-based stablecoin to be launched in Hong Kong comes after the currency’s share of global payments slipped to 2.89% in May, which is its lowest point in almost 2 years. Meanwhile, the dollar maintains a commanding 48%, the report noted, citing data from Swift.
Former deputy head of Bank of China, Wang Yongli, warned last month that if yuan cross-border payments stay less efficient than dollar-pegged stablecoins, which operate 24/7 on the blockchain, it poses strategic risks for China, according to the report.
Hong Kong has already announced a new digital asset plan, which addresses the regulation of stablecoins and promotes the tokenization of assets through the region’s “LEAP” framework. As part of this new framework, the government will implement a licensing regime for stablecoin issuers starting Aug. 1, with the goal of facilitating “the development of real-world use cases.”
JD.com and Ant Group argue that that is not enough, according to the report.
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