Wait for Stablecoins to Whip Up US-China Rivalry
Beijing is set to suspend its mistrust of crypto to stem the tide of dollar dominance.
Beijing's reluctant embrace of stablecoins.
Photographer: Paul Yeung/BloombergEver since the birth of Bitcoin in 2009, China has tightened the screws on cryptocurrencies with unfailing regularity: once every four years, in fact. In the coming months, however, the People’s Republic could signal a change in its stance, and the world of money will have to take notice.
Start with Beijing’s past moves. In 2013, it ordered payment providers to cancel services to the likes of BTC China, a popular venue back then for people to swap yuan for Bitcoin. In 2017, authorities outlawed initial coin offerings. BTC China and other outlets shut down. The biggest blow to the industry came in 2021, when regulators declared all crypto trading by Chinese nationals to be illegal, including on foreign bourses.