PBoC: Limited Need for Domestic Adoption of Independent Blockchain Stablecoins
BlockBeats News, July 15th: The People's Bank of China released a research report stating that the widespread adoption of stablecoins has limited impact on existing businesses such as WeChat Pay. China's third-party payment providers fundamentally operate on a mechanism similar to a "stablecoin" anchored to the RMB, relying on legal reserves to ensure the stability of the currency value. Domestic transaction fees are as low as a fraction of a percent, far lower than those of overseas platforms. Therefore, it is believed that in the current efficient and low-cost mature third-party payment system, the necessity for the widespread adoption of independent blockchain-based stablecoins in China is low, thus posing limited threat to existing businesses. On the other hand, internet companies involved in cross-border payments are more actively exploring the stablecoin field. It is believed that internet companies have advantages in stablecoin adoption:
1) User Scenarios: Companies like Amazon have hundreds of millions of users and mature payment scenarios (such as cross-border e-commerce), making it possible to quickly promote stablecoin applications;
2) Technical Capabilities: Internet companies have strong technology R&D capabilities;
3) Ecosystem Synergy: The combination of B2B (supply chain) and B2C (retail payments) loops can enhance the network effect of stablecoins. (Jinse)
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