Alibaba’s Latest Scheme: Weighing Deposit Tokens While China Shoots Down Stablecoins!

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In what can only be described as a spectacle worthy of a Wodehouse novel, Alibaba, the big cheese of Chinese tech, is playing with the idea of a deposit token-no, not a shiny penny, but a blockchain magic trick-while China’s regulators are busy waving their serious faces at stablecoins. Honestly, it’s a bit like trying to juggle flaming torches while riding a unicycle on a tightrope over a pit of crocodiles. 🐊🔥

The esteemed Mr. Kuo Zhang, Alibaba’s top guy, was seen in the CNBC pages, twinkling with the kind of enthusiasm that only a man about to stake his reputation on a new financial dalliance could muster. His plan? To use what he dubs a “deposit token”-fancy talk for a blockchain-backed IOU-aimed at making international transactions smoother than a jazz band on a summer’s eve. Think of it as a direct claim on a bank’s deposit, treated with the kind of respect usually reserved for a duchess at a ball. 💃

Meanwhile, in the land of big banks and bigger egos, JPMorgan Chase-yes, the biggest bank of all, and no doubt slightly smug about it-has already rolled out its own version of this deposit token for the VIPs. It’s a regular bank-versus-tech showdown, with China doing its best impression of a stern schoolmaster waving the ruler. 📜

And what’s all this fuss about stablecoins? Well, it seems China’s lofty mandarins-probably in a huff because someone dared suggest they might be useful-have put the kibosh on stablecoin plans involving Ant Group, JD.com, and a few other tech giants. Reports have it that Beijing is quite cross about this whole crypto craze and is doing its best to keep the poker hand of digital currency well and truly hidden under the table. 😠

China’s No-Nonsense Approach to Stablecoins

Back in July, Ant and JD had dreams of launching digital bonds or joining Hong Kong’s stablecoin party, but the mandarins, with a face like a thundercloud, shut them down faster than you can say “cryptocurrency.” HSBC and China’s own banking giants were also eyeing the Hong Kong scene, but it looks like the Great Firewall has other plans. 🧱

September saw more reports-mostly from slightly less reliable sources-that Chinese firms working in Hong Kong might be asked to pack up their crypto clubs. It’s as if the government’s saying, “No entry, no exceptions,” to anyone who even thinks about stablecoins. Meanwhile, local authorities have been busy issuing stern instructions to local companies to cease any research or seminars-because nothing says “progress” like a good old-fashioned regulatory snooze. 💤

The Offshore Yuan: China’s Plan B

But all is not lost for the crypto aficionados in China! The Conflux project announced a shiny new stablecoin backed by offshore Chinese yuan-an offshore oasis for digital currency, if you will. Think of it as the cryptic cousin of the mainland kind, serving those involved in China’s Belt and Road extravaganza, rather than Uncle China himself.

And just in case anyone was feeling left out, a regulated stablecoin tied to the international Chinese yuan has hit the scene, launched at a fancy Belt and Road Summit in Hong Kong. It’s a bit like having your cake and not being allowed to eat it-if your cake was a blockchain and the eating involved international currency markets.

As Joshua Chu, that wise co-chairperson of the Hong Kong Web3 crowd, pointed out with a straight face, “China is unlikely to issue stablecoins onshore.” Well, that about sums it up-if you’re a glutton for regulation and a dash of crypto hope, better look offshore! 😉

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2025-11-14 16:27