Central Bank Notice Explicitly Prohibits Offshore Issuance of RMB-Pegged Stablecoins
BIBIBI
AT A GLANCE
Financial education materials from the central bank state that onshore and offshore entities must not issue RMB-pegged stablecoins offshore.
Article
Central Bank Financial Education Notice: Onshore and Offshore Entities and Individuals Must Not Issue RMB-Pegged Stablecoins Offshore
PANews reported on September 22, citing financial education materials from the People's Bank of China, that offshore entities and individuals must not illegally provide virtual-currency-related services to onshore entities in any form; without consent from the relevant authorities in accordance with laws and regulations, onshore entities and the offshore entities they control must not issue virtual currencies offshore, and onshore and offshore entities and individuals must not issue RMB-pegged stablecoins offshore.
PANews stated that the information came from financial education materials from the People's Bank of China.
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Offshore entities and individuals must not illegally provide virtual-currency-related services to onshore entities in any form.
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Without consent from the relevant authorities in accordance with laws and regulations, onshore entities and the offshore entities they control must not issue virtual currencies offshore.
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Onshore and offshore entities and individuals must not issue RMB-pegged stablecoins offshore.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
The materials set out restrictions on virtual-currency services, offshore issuance of virtual currencies, and issuance of RMB-pegged stablecoins.
Why it matters to readers
Entities and individuals involved in the above services or issuance activities need to consider these restrictions and whether approval from the relevant authorities is required.
Beginners should note that RMB-pegged stablecoins are not exempt from the relevant restrictions merely because they are issued offshore.
Risks and unknowns
The original text is PANews' paraphrase of financial education materials and does not include an original document from the People's Bank of China.
The original text does not specify the legal basis, scope of application, enforcement mechanism, or legal consequences of the relevant rules.
The original text does not specify which authorities or procedures are implicated by “without consent from the relevant authorities in accordance with laws and regulations.”
