Chinese E-commerce Giant JD.com to Apply for Stablecoin Licenses Globally, Plans Launch of Stablecoin in Q4

JD.com, one of China’s largest e-commerce platforms, is making a bold move into the stablecoin arena. On June 17, JD Group Chairman Liu Qiangdong announced at a sharing session that the company plans to apply for stablecoin licenses in major global economies, with the goal of reducing cross-border payment costs by 90% and transaction times to under 10 seconds. The initiative, led by JD’s blockchain subsidiary JINGDONG Coinlink, is set to launch its “JD Stablecoin” in the fourth quarter, following regulatory approval in Hong Kong.

Strategic Vision for JD Stablecoin

According to Liu Qiangdong at the event, JD’s stablecoin strategy focuses on streamlining enterprise-to-enterprise (B2B) cross-border payments before expanding to consumer (B2C) use cases.

JINGDONG Coinlink, a subsidiary of JD Technology Group, was established in Hong Kong in March 2024 to spearhead the company’s blockchain initiatives. The firm entered the Hong Kong Monetary Authority’s (HKMA) stablecoin issuer sandbox in July 2024, where it has been testing a Hong Kong dollar (HKD)-pegged stablecoin. According to JINGDONG Coinlink CEO Liu Peng, speaking to Bloomberg Businessweek, the sandbox tests have progressed smoothly, with plans to issue both HKD-pegged and other currency-pegged stablecoins. Liu expects to secure a stablecoin issuer license from the HKMA by early Q4, paving the way for the JD Stablecoin launch.

Focus on Traditional Trade

Unlike many stablecoins targeting crypto-native ecosystems, JD’s offering is designed for traditional cross-border trade. Liu Peng emphasized that JD Stablecoin will prioritize secure, compliant, and auditable solutions for real-world trade participants, including enterprises, payment providers, and logistics firms across regions like Asia-Pacific, the Middle East, Africa, South America, and Europe.

JD’s e-commerce ecosystem, which supports millions of merchants and billions in annual transactions, provides a unique advantage. Speaking at Hong Kong FinTech Week in October 2024, Liu Peng noted that merchants on JD’s platform could use stablecoins for upstream and downstream settlements in the future, improving efficiency and enabling more flexible overseas fund management. This integration could position JD Stablecoin as a cornerstone of the company’s global expansion strategy.

Market Context and Regulatory Landscape

JD’s move aligns with Hong Kong’s push to become a hub for regulated stablecoin activity. The city’s Stablecoin Ordinance, set to take full effect in August, requires issuers to obtain licenses, ensuring transparency and financial stability. JD is not alone in this race—Ant International, another Chinese E-commerce giant backed by Jack Ma, is also pursuing stablecoin licenses, signaling fierce competition in Asia’s digital finance landscape.

The global stablecoin market is projected to grow significantly, with Citi Bank forecasting a market size of $3.7 trillion by 2030. Stablecoins could capture a significant share by offering faster, cheaper alternatives to traditional systems like SWIFT. JD’s focus on B2B payments taps into this potential, particularly in emerging markets where trade volumes are rising.

Challenges and Next Steps

JD faces hurdles in securing licenses across diverse jurisdictions, each with distinct regulatory frameworks. Hong Kong’s sandbox provides a testing ground, but global expansion will require navigating complex compliance requirements. Additionally, competition from Ant Group and established stablecoins like USDT and USDC could challenge adoption.

JD’s entry into the stablecoin market marks a significant step for blockchain adoption in traditional commerce. If successful, JD Stablecoin could redefine cross-border payments, offering a compliant, efficient alternative for businesses and, eventually, consumers worldwide.