Conflux Network, a China-based layer-1 blockchain, is preparing to roll out a new offshore yuan-pegged stablecoin aimed at enhancing trade across Belt and Road Initiative (BRI) countries. The stablecoin (AxCNH) is also created in a partnership with strategic alliance with the companies AnchorX, a fintech and Eastcompeace Technology.
Conflux Partners for Cross-Border Stablecoin Launch
AxCNH will be pegged in 1:1 ratio with the offshore yuan. The stablecoin has been created as a way to make cross-border payments easier between countries forming part of the BRI, including Malaysia, Indonesia, Singapore, and Kazakhstan.
The blockchain infrastructure will be provided by Conflux, and the AnchorX will develop stable coins, and the security control will be in the hands of Eastcompeace.
The three firms will jointly focus on improving payment settlement speed and efficiency. This digital currency solution aligns with China’s vision of strengthening financial connectivity with partner economies. The initiative also supports China’s effort to explore alternatives to the U.S. dollar in global transactions.
Conflux 3.0 Set to Support High-Speed Transactions
Conflux has announced a significant upgrade, Conflux 3.0 will be launched in August. The new version will support up to 15 000 transactions per second. This upgrade is meant to be much more efficient in processing large payments and asset transfers in the real world.
AxCNH has the potential of being integrated into blanket Asian payment systems with the improved infrastructure. The project will assist companies to reduce their expenses and increase the reliability of transactions. It shows the use of blockchain in resolving real-life financial problems.
The news caused a powerful market response. The native token of the Conflux blockchain, named CFX, has experienced a tremendous price increase, as it went up 117% during the last seven days. The traded volume grew 374 per cent, and the coin is currently trading at 0.2245 at a market cap of 1.14 billion.
Stablecoin Development Gains Regulatory Support
China’s financial authorities have shown growing interest in supporting digital currency initiatives. People’s Bank of China Governor Pan Gongsheng recently spoke on the changing global payment landscape. He noted that digital currencies, including stablecoins, are reshaping international transactions.
Former Deputy Finance Minister Zhu Guangyao described dollar-backed stablecoins as tools of U.S. monetary dominance. He emphasized the need for alternatives and endorsed Hong Kong as a testing ground for yuan-based stablecoins.
Starting August 1, Hong Kong will begin licensing stablecoin issuers under a new regulatory framework. Major firms like Ant Group and JD.com have expressed interest in developing offshore yuan stablecoins.
This move by Conflux and its partners reflects China’s ambitions to grow its global financial footprint while modernizing digital payment systems.
