China’s JD.com to Apply for Stablecoin Licenses in Major Global Markets

TL;DR

• JD.com founder has revealed that the company will apply for stablecoin licenses in major global markets.

• The company expects stablecoins to vastly improve cross-border transactions.

JD.com to Apply for Stablecoin Licenses in Various Countries

Chinese e-commerce giant JD.com has announced plans to apply for stablecoin licenses in various countries globally. This is according to its founder and chairman, Richard Liu. 

While announcing this in a press conference in Beijing on Tuesday, Liu stated that,

"We hope to apply for our stablecoin license in all major sovereign currency countries around the world, enabling global, business-to-business transfers."

Liu added that the company’s global stablecoin project could reduce cross-border payment costs by 90% and process transactions in just 10 seconds. If achieved, this could be a significant improvement over the current expenses and delays of the SWIFT system.

"One day, we hope global consumers will be able to use JD's coin for seamless international transactions," he added.

This latest development comes amid increasing regulation for stablecoins in other parts of the world, including the United States and Europe. The EU already unveiled its MiCA regulation, which covered stablecoins, while the United States Senate recently passed groundbreaking GENIUS Act stablecoin legislation with bipartisan 68-30 support, establishing a comprehensive regulatory framework for dollar-backed digital tokens.

Last week, Pan Gongsheng, Governor of China's central bank, stated that blockchain and stablecoins have transformed the traditional payment system. The governor added that they have also significantly improved efficiency in cross-border transactions, while posing challenges for financial supervisors.