ChainCatcher News, Bloomberg cites sources saying that China has requested local brokerages and other institutions to stop publishing research reports related to stablecoins or holding promotional seminars, in order to prevent market overheating and control potential risks.

Sources revealed that in late July and early August, some large brokerages and think tanks received guidance from financial regulatory agencies, requesting the cancellation of relevant activities and the cessation of disseminating research content related to stablecoins.

Recently, regulatory agencies in Beijing, Suzhou, and Zhejiang have issued warnings about the risks of illegal fundraising related to virtual currencies and stablecoins.

Stablecoins are typically backed by cash-like assets, issued by private companies, often pegged to the US dollar and supported by assets such as US Treasury bills. The global supply of stablecoins is expected to reach $3.7 trillion by 2030.