⚾️ Keep On Rockin' in the Free World
China Mulls Yuan-Backed Stablecoins: A Policy Plot Twist So, Reuters dropped a bomb on August 21, 2025, reporting that China is considering approving yuan-backed stablecoins —a sharp U-turn from its once-draconian stance on digital assets. Historically, Beijing slammed the door on digital currencies— banning mining and trading outright in 2021, mostly citing financial-stability fears. But now sources say the State Council may soon review a roadmap aiming to globalize the yuan . If greenlit, this plan would entrench yuan-stablecoins —especially in hubs like Hong Kong and Shanghai—and could even make their debut during the SCO Summit in Tianjin. Why the Sudden Reversal? ▪︎ A few possible threads : 1. Geopolitical speed-run : The U.S. is aggressively pushing dollar-backed stablecoins. The GENIUS Act even formalized a framework for banks to issue them—supercharging dollar dominance via digital rails. 2. Behind the firewall—China’s fear : Beijing is quietly anxious that d...