Tether Is Expected To Release Yuan Stablecoin

Tether allegedly plans to issue a stablecoin tied to the RMB. This was reported by Zhao DONG, an over-the-counter (OTC) trader from China and a shareholder of the Bitfinex crypto exchange, which is associated with Tether.

The trader announced the development on WeChat on Wednesday. According to him, his peer-to-peer cryptocurrency business Renren Bit will support trading and deposits for CNHT when it is launched. He also added:

“Personally, I think the offshore yuan stablecoin could boost the circulation of offshore renminbi and internationalize it. Regulators may be happy to see it proceed and succeed.”

Zhao DONG also stated that the new stablecoin will be "launched very soon, possibly within weeks." He said the stablecoin reserve would supposedly be held at a bank in Belgium. In his opinion, the token would have two main advantages: it would reduce the dependence of Tether on the US dollar, while increasing the circulation of the renminbi located in the offshore zone.

Tether has not provided any official comments at this time.

Image cortesy of CNN