China’s central bank has officially opened a new operations center for the digital yuan in Shanghai, signaling a significant advancement in its push towards modernizing its financial infrastructure. This center will be responsible for overseeing various platforms aimed at enhancing cross-border payments, blockchain services, and the management of digital assets, all integral components of the digital yuan’s development.
According to state-run Xinhua News Agency, which reported the news on Thursday, this move aims to widen the digital yuan’s footprint in global finance. The launch event unveiled several platforms: a cross-border payment system, a blockchain service framework, and a digital asset management platform. This initiative aligns with the broader strategy set forth by the People’s Bank of China (PBOC) and its governor, Pan Gongsheng, who disclosed eight key measures during an event in June focused on the internationalization of the yuan.
Pan emphasized a vision of a “multipolar” monetary system where multiple currencies coexist and bolster the global economy. The operations center represents a pivotal step in this direction. Tian Xuan, the president of the National Institute of Financial Research at Tsinghua University, hailed the launch as a crucial milestone. He suggested it could amplify China’s influence within international finance and provide what he referred to as a “Chinese solution” to enhance cross-border payment infrastructure.
In conjunction with its efforts to expand the use of the digital yuan, China is actively working on the development of stablecoins. This endeavor aims to promote the yuan globally while reducing reliance on the US dollar. Despite banning trading and mining of cryptocurrencies in 2021, recent reports indicate a shift in China’s stance. In August 2025, it became known that authorities are contemplating the approval of yuan-backed stablecoins to further these ambitions.
Discussions about stablecoins and digital currencies were highlighted at a strategic meeting held in Shanghai in July by the State-owned Assets Supervision and Administration Commission (SASAC). This came after a publication from the state-run Securities Times, which called for the expedited development of stablecoins.
In a noteworthy development, Hong Kong-based fintech firm AnchorX recently launched the first stablecoin linked to the international variant of the Chinese yuan (CNH). This stablecoin is intended for use in foreign exchange markets and aims to facilitate cross-border payments, particularly for countries participating in China’s Belt and Road Initiative—an ambitious infrastructure project connecting China to the Middle East and Europe.
As these initiatives unfold, China’s strategic positioning in the realm of digital finance appears set to reshape its international monetary relationships, potentially diminishing the dominance of the US dollar in global transactions.
