China moves to block offshore yuan-backed stablecoin issuance
Chinese regulators banned the offshore issuance of yuan-backed stablecoins due to financial security risks.Summary
Chinese regulators, including the People's Bank of China, issued a joint notice reinforcing their strict stance against unregistered digital assets, specifically banning the issuance of stablecoins pegged to the renminbi overseas. The notice asserts that stablecoins performing currency-like functions infringe upon monetary sovereignty and are subject to strict state control. Domestic or overseas entities are prohibited from issuing these stablecoins without lawful approval, and domestic firms cannot facilitate such activities through overseas affiliates. Regulators cited risks like money laundering, fraud, and threats to national financial security as reasons for the intensified crackdown, promising coordinated enforcement and increased monitoring.
(Source：Crypto Briefing)