China’s central bank has announced a major move to bolster the global presence of its digital currency — the e-CNY — by establishing an international operations center in Shanghai.
In a keynote address at the Lujiazui Forum, People’s Bank of China (PBOC) Governor Pan Gongsheng revealed that the center is aimed at accelerating the internationalization of the digital yuan and responding to shifting global payment dynamics driven by stablecoins and central bank digital currencies (CBDCs).
e-CNY: One of the Most Advanced CBDCs
Launched in pilot form in 2019, the e-CNY is considered one of the world’s most developed CBDCs, yet it has faced challenges in widespread adoption. With this new international operations center, the PBOC aims to enhance infrastructure, improve user engagement, and strengthen the yuan’s presence in global transactions.
Stablecoins and Blockchain Are Reshaping Payments
Pan emphasized that emerging technologies like blockchain and distributed ledger technology (DLT) are transforming cross-border payments. He stated that:
“These innovations are enabling real-time settlement at the point of payment, fundamentally reshaping traditional payment infrastructure and significantly shortening the cross-border payment chain.”
He acknowledged that CBDCs and stablecoins are rapidly gaining traction, offering faster, cheaper, and more efficient alternatives to conventional systems.
Regulatory Gaps and Global Risks
However, Pan warned that the growth of crypto assets and DeFi (decentralized finance) also brings regulatory challenges. He highlighted:
- Lack of global coordination on crypto regulations.
- Unregulated sectors posing risks to monetary stability.
- Political influences causing inconsistent policy development.
“Global regulatory coordination is insufficient,” he noted, especially as the crypto sector evolves rapidly and climate risk frameworks remain fragmented.
A Strategic Move Following U.S. Developments
The announcement came just after the U.S. Senate passed the GENIUS Act, a key stablecoin bill that could shape future U.S. digital currency policy. China’s move is seen as a response to stay ahead in the digital finance race, while maintaining its domestic ban on crypto trading and mining.
Shanghai to Pilot Blockchain Finance Tools
As part of the broader initiative, Shanghai will pilot blockchain-based trade finance tools — a step that reflects China’s increasing focus on using blockchain in traditional financial services.
Summary
China’s PBOC is doubling down on the digital yuan’s global ambitions by launching an international e-CNY center in Shanghai. As stablecoins and CBDCs reshape payment ecosystems, China aims to stay at the forefront—while calling for stronger international regulatory coordination.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss