The digital financial world is changing rapidly, and continuous innovations are shaping how we perceive and use currency. At the WeX2025 event in Japan on August 25, Changpeng Zhao (CZ) – co-founder of Binance – made a shocking statement: stablecoins are not only growing robustly but are also outpacing Central Bank Digital Currencies (CBDCs), rendering many CBDC projects outdated.

This statement not only sparked a wave of debate in the blockchain community but also reflects a reality: the market is choosing stablecoins over government-issued digital projects. So why is there such a stark difference?

Why Are Stablecoins Breaking Through?

According to information from JinSe Finance quoting CZ, stablecoins are achieving superior market acceptance. Unlike highly volatile cryptocurrencies, stablecoins are pegged to traditional assets like USD, EUR, or gold, ensuring stable value.

  • Stability: Stablecoins offer predictability, a crucial factor in commerce and daily transactions.

  • Global accessibility: Users can transfer stablecoins across borders quickly, at low cost, and without relying on traditional banks.

  • Dynamic ecosystem: Stablecoins not only serve payments but also become the foundation for DeFi, NFTs, and many other digital financial applications.

Meanwhile, CBDC is still struggling to find its place. Many countries have tested CBDC since 2013-2014, but the results have not been very promising. The problem with CBDC lies in the fact that:

  • Lack of differentiation: Users find it hard to notice the outstanding benefits compared to current e-wallets or online banking.

  • Privacy concerns: The government's ability to monitor every transaction makes many people uneasy.

  • Slow implementation: The administrative process and policies make CBDC less flexible compared to solutions from the private sector.

Is China Changing Its View on Stablecoins?

A noteworthy point in CZ's speech is China's changing stance. Once a country imposing many restrictions on cryptocurrencies, China is now showing signs of being more open, especially through the pioneering role of Hong Kong.

Hong Kong is currently researching a legal framework for stablecoins, combining innovation encouragement and risk control, aimed at becoming a center for digital asset development. This move could create a ripple effect, prompting other countries to reconsider their approach to stablecoins.

Is CBDC Really 'Obsolete'?

CZ calls CBDC 'obsolete', a somewhat harsh assessment, but it accurately reflects reality: CBDC has yet to prove its superior value compared to existing solutions.

To survive and compete, CBDC needs:

  • Providing clear benefits that stablecoins or banking systems have yet to meet.

  • Solving the problem of privacy and trust.

  • Easily integrated into people's lives, rather than just remaining at the experimental level.

If there is no rapid innovation, many CBDC projects will remain just failed experiments on paper.

Conclusion: Stablecoin – The Leader in the Digital Currency Race

CZ's remarks at WeX2025 highlighted a truth: the market has chosen stablecoins as a payment and value storage tool in the digital age. Stability, global accessibility, and a rich ecosystem have helped stablecoins rise, while CBDCs are still struggling to find their footing.

The future of currency is undoubtedly digital. And at least in the current phase, stablecoins have a significant advantage, becoming a powerful driver for comprehensive change in the global financial sector.