China's central bank lays regulatory foundation for CBDC

[Dociko]

The new draft law legitimizes digital yuan and may criminalize the issuance of yuan-backed stablecoins by third parties. China’s central bank, the People’s Bank of China (PBOC), published a draft law this Friday that aims to provide regulatory framework and legitimacy for a forthcoming central bank digital currency (CBDC), the digital yuan.

The draft law states that the yuan is the official currency of the People's Republic of China whether in physical or digital form.

The draft law also appears to take aim at third-party efforts at yuan-backed digital currencies, stating that individuals and institutions are prohibited from making and issuing a currency designed to “replace” digital yuan circulation. This move would presumably criminalize all non-state-sanctioned yuan-backed stablecoins.
Details: https://cointelegraph.com/news/china-s-central-bank-lays-regulatory-foundation-for-cbdc