China Halts Tech Giants’ Stablecoin Launches Amid Sovereignty Concerns
Chinese authorities have intervened to suspend stablecoin initiatives by ANT Group and JD.com, signaling a firm stance on monetary sovereignty. The People's Bank of China and the Cyberspace Administration of China directed the companies to halt issuance of currency-like digital assets, underscoring the state's exclusive right to coinage.
This move challenges the viability of privately issued stablecoins within China's sphere, casting uncertainty over Hong Kong's regulatory framework designed to attract crypto issuers. At the core lies a fundamental question: should monetary control reside with central banks or private corporations?
The decision reflects Beijing's growing unease about tech firms encroaching on traditional central bank functions. As one source noted, "The real regulatory concern is who has the ultimate right of coinage"—a rhetorical question that answers itself in China's state-driven financial system.
