--- title: "Soochow Securities Co., Ltd.: Stablecoins enter the top-level design of China's finance, focusing on three types of companies: public chains, digital wallets, and license acquisition" type: "News" locale: "en" url: "https://longbridge.com/en/news/246343830.md" description: "Soochow Securities Co., Ltd. released a research report stating that the central bank governor's first mention of stablecoins marks a significant shift in China's regulatory attitude towards cryptocurrencies. Future policies need to balance open innovation and risk prevention, with stablecoins potentially becoming a key tool for the internationalization of the renminbi and the reconstruction of the cross-border payment system. It is recommended to pay attention to three categories of companies: public chains, digital wallets, and license acquisition. The security of stablecoins is particularly important in cross-border transactions, especially against the backdrop of escalating geopolitical conflicts" datetime: "2025-06-27T01:51:05.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/246343830.md) - [en](https://longbridge.com/en/news/246343830.md) - [zh-HK](https://longbridge.com/zh-HK/news/246343830.md) generator: "portal-rs" --- # Soochow Securities Co., Ltd.: Stablecoins enter the top-level design of China's finance, focusing on three types of companies: public chains, digital wallets, and license acquisition According to the Zhitong Finance APP, Dongxing Securities released a research report stating that Central Bank Governor Pan Gongsheng mentioned for the first time in a public speech that stablecoins are "thriving," marking a significant shift in China's regulatory attitude towards cryptocurrencies. Future policies need to balance open innovation and risk prevention, with stablecoins potentially becoming key tools for the internationalization of the Renminbi and the restructuring of cross-border payment systems. It is recommended to pay attention to three categories of companies: (1) Public chains: recommended to focus on Forms Syntron, Guangdian Yuntong, Jida Zhengyuan, Putian Technology, NEWLAND, etc.; (2) Digital wallets: recommended to focus on Hengbao Co., LTD., Huafeng Superfiber, etc.; (3) License acquisition: recommended to focus on Xiaogoods City, etc. ## The main points of Dongxing Securities are as follows: **From "illegal finance" to "thriving," stablecoins enter the top-level design discourse system** The Central Bank Governor's first mention of stablecoins in a public speech represents a significant shift in the attitude of China's financial system towards cryptocurrencies. Previously, former Central Bank Governor Zhou Xiaochuan's positioning of stablecoins always revolved around risk warnings and sovereign protection, with the core focus on preventing the dollar from further infiltrating the global financial system through stablecoins and building the competitiveness of sovereign currencies through CBDCs. However, Governor Pan's "thriving" does not deviate from Zhou Xiaochuan's core logic of "beware of dollarization," but leans more towards market recognition after regulatory improvements. In the future, how to balance open innovation and risk prevention remains a key policy issue. **Defensive counterattack: building a self-controlled cross-border payment system** (1) Self-control solidifies financial security. Financial security is the core significance of China's development of stablecoins. Stablecoins are decentralized digital currencies based on public blockchains, inherently possessing security attributes. The current international payment system is based on the dollar and centered around SWIFT, and the aforementioned unstable factors may become tools that limit us. The security of stablecoins highlights their value in cross-border transactions, especially critical during periods of escalating geopolitical conflicts. (2) Opening up new paths for Renminbi internationalization. Among the eight financial opening measures announced by the Central Bank, establishing a digital Renminbi international operation center is singled out as a key measure, ranking second among the eight. Governor Pan's speech has already positioned the Renminbi as one of the "few coexisting sovereign currencies," and mentioned that the international monetary system is developing towards multipolarity to more effectively maintain global economic and financial stability. Developing stablecoins can balance healthy competition among sovereign currencies and is expected to become an important part of the Renminbi internationalization strategy. Additionally, issuing Renminbi stablecoins is expected to become a cross-border payment tool for developing countries, addressing the cross-border payment issues of southern countries. **Speculations on China's development of stablecoins** (1) Public chains: A sound public chain is a necessary condition for implementing stablecoins. Public chains differ from consortium blockchains and private chains, being fully decentralized blockchains that can better leverage the transactional medium attributes of stablecoins; therefore, stablecoins require a sound public chain as support. (2) A complete regulatory framework ensures the compliance background and value stability of stablecoins. Fully leveraging the regulatory functions of the central bank and various regulatory agencies, and fully improving the regulatory framework for stablecoins' fiat currency and cross-border transactions, is essential to ensure the fiat currency background of stablecoins, maintain value stability, and ensure compliance for funding purposes. In the process of building public chains, the central bank and relevant regulatory agencies should be incorporated into the blockchain system to achieve transparency across all nodes for easier information access and regulation (3) Three concepts for stablecoin issuance. The first: Centralized issuance. The central bank directly issues on-chain, while enterprises build a stablecoin ecosystem (public chain, wallet, smart contracts, etc.) around this super node; the second: Licensing system: Obtain a license → Anchor assets → Self-promotion. After obtaining the stablecoin issuance license, enterprises need to reserve a corresponding amount of fiat currency-denominated assets with relevant institutions before they can issue stablecoins on-chain. The functions of the stablecoins issued by various companies are the same, but they can have personalized promotion methods; the third: Central wholesale + enterprise retail: The central bank is responsible for the public chain + wholesale, while authorizing banks and technology companies to issue stablecoins. (4) The manufacturing industry drives stablecoins to go overseas or becomes a new approach for the internationalization of the renminbi. Leveraging China's strong manufacturing background to promote our independent public chain to bilateral and even small multilateral transactions is the most feasible idea, making entry into the chain a condition for purchasing Chinese products and expanding the influence of our public chain through cross-border trade. **Risk Warning:** Policies may not meet expectations; geopolitical conflicts may escalate; macroeconomic downturn; breakthroughs in public blockchain technology may not meet expectations ### Related Stocks - [000997.CN](https://longbridge.com/en/quote/000997.CN.md) - [002104.CN](https://longbridge.com/en/quote/002104.CN.md) - [300468.CN](https://longbridge.com/en/quote/300468.CN.md) - [003029.CN](https://longbridge.com/en/quote/003029.CN.md) - [300180.CN](https://longbridge.com/en/quote/300180.CN.md) - [002152.CN](https://longbridge.com/en/quote/002152.CN.md) - [601555.CN](https://longbridge.com/en/quote/601555.CN.md) - [600415.CN](https://longbridge.com/en/quote/600415.CN.md) ## Related News & Research - [Vector Science files US provisional patent for orthopedic tissue-regeneration peptide platform](https://longbridge.com/en/news/296483037.md) - [California helicopter maker wins major role in US Army pilot training](https://longbridge.com/en/news/296642218.md) - [GRAINS-Soybeans near three-week high on China demand, crop worries](https://longbridge.com/en/news/296295616.md) - [TECHNICALS-CBOT corn may rise into $4.93-3/4 to $4.95-1/4 range](https://longbridge.com/en/news/296189959.md) - [International Frontier Resources signs definitive agreements to buy Mision Field operator SMB](https://longbridge.com/en/news/296228460.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**