Trump Ends Crypto Discrimination: Global Ripple Effects

The United States has shifted its stance on cryptocurrencies under the Trump administration, fostering an environment conducive to innovation. Meanwhile, China's tentative embrace of crypto through Hong Kong has been curtailed by recent regulatory actions, stifling what many saw as the future of payment services.

Ant Group and JD.com had publicly announced plans to issue stablecoins, following in the footsteps of global leaders like PayPal. Stablecoins are gaining traction, with PayPal's PYUSD surpassing $2.7 billion in circulation and the total stablecoin market nearing $317 billion. Analysts predict this market could soon exceed $1 trillion.

For fintech firms, adopting stablecoins is a competitive necessity. Chinese companies, however, face hurdles after the People's Bank of China and the Cyberspace Administration discouraged stablecoin initiatives. Despite these challenges, Chinese corporations had been making significant progress in stablecoins and tokenization.