PBOC Officially Bans 'Unapproved' Yuan-Pegged Stablecoins

The People’s Bank of China and seven regulatory agencies issued a joint statement banning the unapproved issuance of Renminbi‑pegged stablecoins and tokenized real‑world assets (RWAs). The ban covers both domestic and foreign issuers and was also signed by the Ministry of Industry and Information Technology and China’s Securities Regulatory Commission.

A translation of the announcement noted: “Stablecoins pegged to fiat currencies perform some of the functions of fiat currencies in disguise during circulation and use. No unit or individual at home or abroad may issue RMB-linked stablecoins without the consent of relevant departments.” Winston Ma, an adjunct professor at NYU Law School, said the prohibition extends to onshore and offshore versions of the yuan: “The Beijing crypto ban rule applies across all RMB-related markets, whether CNH or CNY.” He added that this move is part of a multi‑year effort to keep speculative crypto outside the formal financial system while promoting the e‑CNY, China’s central bank digital currency.

China, Beijing