- Ant Group firmly refuted reports claiming it’s partnering with the PBoC on a rare-earth-backed renminbi stablecoin.
- Chinese regulators have instructed brokers to cease promoting or discussing stablecoins publicly.
- Ant Group has been exploring legitimate stablecoin opportunities, such as applying for licenses in Hong Kong.
Ant Group has firmly denied the rumours that it is collaborating with the People’s Bank of China (PBoC) and China Rare Earth Group to launch a rare earth-backed renminbi (RMB) stablecoin. In a statement published on Weibo, the fintech giant stressed that the claims are “unfounded”.
It went on to say that no discussions or plans of this nature had ever occurred and also warned people against such misinformation that could mislead investors or distort market sentiment. Despite denying the rare earth token rumours, Ant has demonstrated genuine interest in the stablecoin and digital asset ecosystem. Its international arm is reportedly preparing applications for stablecoin issuer licenses across Hong Kong and Singapore.
Pursuing offshore stablecoin ambitions
Reports of other Chinese tech conglomerates, like Ant Group and JD.com had also surfaced as they were actively lobbying regulators to authorize yuan-pegged stablecoins. They were pushing for a stablecoin backed by offshore yuan (CNH) as an alternative to break the dominant dollar-pegged tokens. If they do manage a breakthrough overseas, it will help them leverage cross-border payment applications while still staying compliant.
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However, a Reuters report in early August showed that Chinese regulators had instructed brokers to stop promoting or even discussing stablecoins publicly. Some think-tanks were told to cancel stablecoin-related seminars in an effort to curb the investor frenzy.
China’s official stance on stablecoins
China maintains a stringent policy toward private stablecoins. While cryptocurrencies remain banned on the mainland, authorities are increasingly exploring regulated stablecoin frameworks, primarily targeting offshore issuance. In Hong Kong, new legislation effective August 1 introduced a licensing regime for stablecoin issuers, signaling a cautious but strategic opening.
Additionally, Ant Group has been exploring ways to integrate Circle’s USDC and supports blockchain-based payment infrastructure, positioning itself as a fintech innovator within regulatory boundaries.
