China turns attention to stablecoins role in cross-border payments - Cryptopolitan

Crypto Insight Summary: * A senior PBOC official used the 2026 Lujiazui Forum to call for closer monitoring of stablecoins in cross-border payments. * On the same day, 26 financial institutions joined China’s new blockchain-based digital yuan settlement platform, CBETS. * Beijing has maintained a two-pronged strategy of promoting state-controlled digital currency infrastructure while keeping private stablecoins under tight regulatory scrutiny. **Wang Xin, the director-general of the People’s Bank of China’s Research Bureau, stated during the 2026 Lujiazui Forum that regulators need to track the effect of stablecoins on international payments.** The executive’s comments came as Beijing remains [cautious about privately issued digital tokens](https://www.cryptopolitan.com/china-bans-private-yuan-stablecoins/) even while it prepares state-controlled infrastructure for the globalization of the digital yuan. Speaking during a session on global financial governance at the 2026 Lujiazui Forum, Wang Xin, the director-general of the People’s Bank of China’s Research Bureau, [said](https://www.thepaper.cn/newsDetail_forward_33399065) that cross-border investment and trade depend on payment systems that are efficient, diverse, and resilient. However, he also mentioned the risk that payment channels pose, as they could be turned into geopolitical weapons for the purpose of disrupting normal cross-border commerce. Wang said that alongside stablecoins, central bank digital currencies (CBDCs) used across borders also require observation and policy cooperation between governments. Hours after Wang’s remarks, 26 financial institutions signed agreements to become the first direct participants on CBETS, a blockchain-based cross-border platform operated by e-CNY Center International Co. The platform connects the participating banks to payment and digital fiat currency systems across multiple jurisdictions. The financial institutions include Standard Chartered Bank (China) and overseas branches of Chinese banks in Thailand, Singapore, Laos, the United Arab Emirates, Qatar, Brazil, Hong Kong, and Macao. Crypto Insight Analysis: Direction: Neutral Impact: Minor Impact Horizon: Mid-term (1-8 weeks) Reasoning: China's focus on stablecoins and CBETS platform highlights regulatory scrutiny and infrastructure development, but lacks direct market impact.