A recent investigation revealed that only 0.3% of merchants in Yiwu actually accept stablecoins, despite widely circulated rumors about their use.
The Myth of Stablecoin Payments
In early July 2025, it was reported that stablecoins became an 'important tool' for transactions in Yiwu. However, journalists who investigated the situation at the largest small commodity distribution center found that only 0.3% of merchants accept such currencies.
Reasons for Merchant Refusal
Merchants' refusal to use stablecoins is attributed to strict compliance requirements and risks. In 2023, merchants would lose 13% of tax refunds if they accepted stablecoins instead of traditional banking payments. The traditional payment system also allows them to obtain loans and participate in fairs.
Prospects and Potential Development Paths
Despite concerns, there are positive examples of stablecoin use, such as for hedging currency risks. Some merchants also turn to 'U-dealers' to exchange fiat for stablecoins. The future of financial technologies in Yiwu will depend on compliance and profit sharing.
The collective refusal of merchants to adopt stablecoins shows that financial innovations require compliance and consideration of interests. Such changes cannot happen instantly but must be based on balanced approaches.
