China Blocks Stablecoin Issuance by Ant Group and JD.com
Date: 2025-10-21 Author: Oliver Abernathy Categories: IN WORLD
In the first half of 2025, Alibaba-owned Ant Group and JD.com announced their intention to issue their own stablecoins pegged to the yuan for use in Hong Kong. This project could have become the first large-scale example of private stablecoin initiatives within China's jurisdiction.
However, several months after these announcements, the companies received direct orders from the country's key regulators—the People's Bank of China (PBOC) and the Cyberspace Administration of China (CAC)—to suspend their initiatives. As a result, Ant Group and JD.com decided to abandon their stablecoin issuance plans entirely.
According to the Financial Times, citing sources close to the situation, Chinese authorities believe that private stablecoins could create competition for the state-owned digital yuan (e-CNY), undermine trust in it, and even weaken government control over monetary policy. Regulators believe that privately issued digital currencies could complicate liquidity management and oversight of financial flows.
Furthermore, Chinese financial regulators have instructed Hong Kong brokerages and think tanks to refrain from publishing research or organizing events on stablecoins. This measure is aimed at limiting public interest in such assets and preventing their spread domestically and regionally.
Earlier, Bloomberg reported that the People's Bank of China opened a dedicated center for digital yuan transactions in Shanghai. This center is designed to support both domestic and cross-border settlements using e-CNY. The creation of such structures confirms China's commitment to strengthening its national digital currency and minimizing the risks associated with private initiatives in the cryptoasset space.
Experts note that Beijing's policy on digital currencies remains consistent: China is actively developing state-owned technologies in this area, while maintaining strict controls on private projects that could impact financial stability. The ban on stablecoins issued by Ant Group and JD.com is the latest step in implementing this strategy.
