JD.com is actively preparing to issue its stablecoins in Hong Kong by registering the names JCOIN and JOYCOIN. These developments come as the region prepares regulatory frameworks for stablecoins.
JD.com’s Stablecoin Plans
JD CoinChain, the blockchain arm of JD.com, has registered the names 'JCOIN' and 'JOYCOIN', which are believed to be the company's upcoming stablecoins. The 'Jingdong stablecoin' is expected to be pegged at a 1:1 ratio to the Hong Kong dollar and issued on a public blockchain with the aim to become one of the leading digital currencies for businesses and individuals.
JD CoinChain Joins HKMA’s Sandbox
JD CoinChain is an official participant in the Hong Kong Monetary Authority's (HKMA) stablecoin sandbox initiative. Last July, the company partnered with Skystar Bank to explore how stablecoins could be utilized for cross-border transactions. By June, it was already testing a Hong Kong dollar stablecoin along with other fiat-backed stablecoins. CEO Liu Peng mentioned that the next phase will concentrate on real-world use cases including cross-border payments and retail transactions.
HKMA’s Stablecoin Framework Launches
The Hong Kong Monetary Authority is set to launch its stablecoin regulatory framework on August 1. The guidelines include licensing requirements and rules regarding Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF). As part of the rollout, a public registry of licensed stablecoin issuers will be established to promote transparency in the sector. No licenses have been granted so far, and the HKMA has advised users to be wary of claims of licensing.
JD.com’s plans for launching stablecoins underscore the growing interest in digital currencies in Hong Kong. With the rollout of new regulatory frameworks, increased transparency and trust in this segment of the financial market is anticipated.
