ChainCatcher News, according to Reuters, China is considering allowing the use of a yuan-backed stablecoin for the first time to promote the internationalization of the yuan.

Multiple sources reveal that Chinese tech giants have proposed to regulators to issue a stablecoin pegged to the offshore yuan in Hong Kong. Shanghai regulators are actively researching policy responses to stablecoins, although mainland China has banned cryptocurrency trading since 2021.

This move aligns with recent statements from the People's Bank of China, whose governor has publicly committed to expanding the international use of the digital yuan and called for the development of a multipolar currency system.