Catenaa, Wednesday, July 30, 2025-China Industrial Bank is fast-tracking its research and development of AI-driven stablecoin solutions, according to Shanghai Securities News.
The report says that this would be a part of a broader plan to transform into a “Smart Industrial Bank,”
The move aligns with China’s push to strengthen digital finance infrastructure and challenge the global dominance of the US dollar in cross-border payments.
The bank’s mid-year work conference outlined initiatives to deepen stablecoin integration with artificial intelligence, aiming to improve risk management, client services, and financial resilience.
The “Data Elements X” program will support these efforts, enhancing digital infrastructure and management efficiency across regional branches.
Former Deputy Finance Minister Zhu Guangyao described dollar-pegged stablecoins as a “third phase” of the Bretton Woods monetary system, highlighting their explosive $27.6 trillion transaction volume in 2024, surpassing Visa and Mastercard combined.
Zhu advocated for yuan-backed stablecoins as tools to diversify payment channels and boost China’s currency internationalization without full capital account liberalization.
The plan includes leveraging Hong Kong as a regulatory sandbox for both offshore and domestic yuan stablecoins, emphasizing transparency and compliance with international reserve standards.
AI integration is expected to bolster fraud detection, risk monitoring, and automated compliance amid growing transaction volumes.
