Discussion about an offshore Chinese digital currency called RMB stablecoin escalates financial markets. Officials issue warnings about potential fraud schemes involving the digital coin.
In a significant development, Hong Kong-listed company Goldstream Investment has seen a dramatic surge in its stock price following its collaboration with local stablecoin issuer AnchorX. The partnership aims to explore the issuance of an offshore RMB stablecoin, AxCNH.
The collaboration, announced on July 4, 2025, outlines potential ventures around AxCNH, including cross-border payments, trade settlements, digital asset trading platforms based on AxCNH, and investments in blockchain and FinTech innovation. This strategic move has been well-received by investors, marking a significant business development.
AxCNH is an innovative offshore RMB stablecoin pegged 1:1 to the Chinese Renminbi. It utilises advanced distributed ledger technology, bypassing conventional payment networks like USD and SWIFT, thereby lowering costs and enabling instant global settlement. This technological innovation could potentially accelerate RMB internationalization and expand its global recognition and acceptance.
The market's response has been enthusiastic, with Goldstream’s stock price surging up to 650% on July 7-8, 2025, and trading volume spiking. This surge reflects a strong market appetite for stablecoins and blockchain-related innovations, amplified by the broader global excitement about stablecoin projects, such as Circle's successful IPO.
However, regulatory uncertainties in Hong Kong persist, as AnchorX operates its stablecoin through a licensed entity in Kazakhstan (Astana), enabling regulatory compliance to a degree. Despite this, AnchorX's association with Conflux—a blockchain with claimed affiliations to the Chinese government—and previous cooperation with entities like China Telecom add credibility, fuelling investor confidence.
Authorities, including the Beijing Internet Finance Industry Association, have issued warnings about potential risks associated with these practices. Some companies are suspected of exploiting hype around stablecoins to attract speculative investment, and a lack of understanding about stablecoins may be used to attract investment. However, the specific companies involved in such practices have not been specified.
In essence, the surge in Goldstream’s stock price can be attributed to the market’s optimistic interpretation of Goldstream’s engagement with a promising offshore RMB stablecoin project led by AnchorX, which offers technological and strategic advantages in cross-border RMB payments and digital finance expansion. This occurred despite regulatory uncertainties in Hong Kong because AnchorX has alternative licensing and reputed blockchain partnerships, sustaining investor confidence and strong speculative demand.
- The government in Hong Kong has expressed concerns about potential risks associated with stablecoin projects, hinting at the exploitation of hype and attracting speculative investments.
- The collaboration between Goldstream Investment and AnchorX, a local stablecoin issuer, is set to delve into capital investments in blockchain and FinTech innovation, showcasing business insights into the emerging stablecoins industry.
- The success of Circle's Initial Public Offering has fueled global excitement about stablecoin projects, contributing to the significant surge in Goldstream's stock price following its partnership with AnchorX.
- The blockchain technology used by AnchorX, including its partnership with Conflux, a blockchain with claimed affiliations to the Chinese government, bolsters its credibility and sustains investor confidence in Goldstream's endeavors, despite regulatory uncertainties in Hong Kong.
