Li Yang, Chairman of the National Financial and Development Laboratory: Facing the wave of stablecoins, China needs to advance on two tracks

According to Techub News, Li Yang, a member of the Chinese Academy of Social Sciences and president of the National Financial and Development Laboratory, stated that in the face of the stablecoin wave, China needs to advance comprehensively on two fronts. On one hand, since any form of stablecoin cannot avoid the issue of monetary sovereignty, resolutely promoting the internationalization of the renminbi remains the core task of cultivating a strong currency (renminbi). On the other hand, it must be recognized that the trend of integration between stablecoins, cryptocurrencies, and the traditional financial system will be difficult to reverse. Stablecoins and cryptocurrencies will achieve complementary development with central bank digital currencies, comprehensively improving payment efficiency and reducing payment costs, reconstructing the global payment system, and driving the development of decentralized finance (DeFi). He pointed out that regarding further development paths, China should fully utilize Hong Kong's favorable conditions, leveraging its financial center status and existing institutional foundation (such as USDT's headquarters being located there), to develop offshore renminbi stablecoins and construct controllable international payment channels. In other words, develop renminbi stablecoins through offshore methods.