Recently, there has been a strange phenomenon in the global stablecoin market—USD stablecoins are expanding rapidly, multiple countries are scrambling to get involved, but one major country has suddenly hit the brakes, not even touching stablecoins pegged to its own currency. At first glance, this might seem like falling behind, but a closer look reveals a different strategy.

Let’s start with a fact: among stablecoins currently in circulation, USDT alone accounts for 99% of the market share. What does this mean? The so-called “stablecoin ecosystem” is essentially just a digital extension of the US dollar claiming territory around the world. The latest legislative moves from the US make it clear—they want to formalize this system and tie the flow of more countries’ capital to the dollar system.

Some might think: why don’t other countries just issue their own stablecoins? The problem is, how can you compare with the global liquidity of the US dollar? Even if it’s technically possible, market acceptance is worlds apart. What’s even more dangerous is the regulatory vacuum—without a unified international regulatory framework, this could easily become a backdoor for capital flight.

Let’s look at the risks from another angle: if you follow the trend and issue a local currency stablecoin, it’s like opening a backdoor in your monetary sovereignty. The issuers of USD stablecoins are subject to US regulation—what does that mean? It means others can use technical means to indirectly influence your financial system. No country wants to leave that kind of risk exposure open.

Now, what is the “non-following” country doing? The digital RMB has long passed the conceptual stage; Shanghai’s international operations center is already up and running, and mobile payment infrastructure is globally leading. Rather than fighting for leftovers in the stablecoin market dominated by the dollar, it’s better to follow its own path with a compliant digital currency. Recently, 15 departments jointly issued a statement clearly classifying stablecoins as virtual currency and directly defining them as illegal financial activities.

With this combination of moves, the logic is clear: you pursue your digital dollar expansion, I safeguard my monetary sovereignty and financial security bottom line. On the surface, it looks like rejecting a new trend, but in reality, it’s about refusing to passively accept rules made by others.

Ultimately, the essence of stablecoins like USDT and USDC has never just been about technological innovation—it’s a new battleground for monetary power in the digital era. Once you understand this, you’ll see why some seemingly conservative choices are actually higher-level strategic plays.