PBoC’s Digital Yuan Center Aims to Challenge the Dollar’s Leading Role in International Transactions

The People's Bank of China (PBoC) has made a notable move to promote the global use of the digital yuan by launching the Digital RMB International Operations Center in Beijing, marking a deliberate effort to strengthen the currency’s international standing. This newly established center, together with the existing Domestic Operations Management Center, creates a "dual-wing" framework aimed at enhancing both internal infrastructure and cross-border connectivity for the digital RMB. This initiative is part of a larger strategy to challenge the U.S. dollar’s supremacy in worldwide payments and to increase the yuan’s role in global commerce, as reported by

The International Operations Center is tasked with developing blockchain-driven systems to support international transactions, while the Domestic Operations Center is focused on upgrading local financial infrastructure with advanced technologies and ensuring the digital RMB’s steady development within China. This two-pronged strategy is intended to build an integrated environment for the digital yuan, supporting its smooth use both at home and abroad. Capital Finance reports that PBoC Governor Pan Gosheng highlighted the center’s importance in establishing and maintaining the digital RMB network, as well as advancing Beijing’s goal of becoming a leading financial center in China.

This development comes as authorities tighten regulations on private stablecoin initiatives. In August 2025, Hong Kong rolled out a licensing system for stablecoins, leading major Chinese tech firms like Alibaba and JD.com to seek issuance licenses. Nevertheless, the PBoC and the Cyberspace Administration of China (CAC) have recently directed these companies to halt their stablecoin projects, citing issues related to monetary control and competition with the digital yuan, according to

This regulatory action highlights China’s commitment to keeping its digital currency ecosystem under centralized supervision. Although stablecoins might offer faster and more cost-effective international payments, PBoC officials have stressed the dangers of letting private companies issue or manage currency. This approach is consistent with regulatory caution seen in the U.S. and Europe, particularly in response to Meta’s Diem initiative. Nonetheless, China’s overarching objective is to integrate the digital yuan into global payment networks, especially with ASEAN and BRICS countries.

The PBoC’s initiatives are part of a wider campaign to standardize the yuan’s application in cross-border payments. Recent partnerships, such as the agreement between Sinopec and BASF to mutually recognize carbon footprint accounting standards, demonstrate China’s increasing role in shaping industry norms. While not directly linked to digital currency, these efforts reflect the nation’s broader ambition to lead in both global financial and environmental standards, as noted in

With the digital RMB gaining momentum, the PBoC’s two-center strategy and regulatory measures make it clear that China intends to steer the narrative around its global adoption. By focusing on cross-border infrastructure and strategic alliances, the international footprint of the yuan is poised to grow substantially in the near future.