CICC: Under the current payment system, the necessity of popularizing blockchain stablecoins in China is not high, and there are advantages in deploying stablecoins on the Internet

Odaily Planet Daily News: CICC Research Report states that we believe that the popularization of stablecoins will have limited impact on existing businesses such as WeChat Pay. The essence of domestic third-party payment is a "quasi-stablecoin" mechanism anchored to the RMB, relying on legal reserves to ensure currency stability, and the domestic fee rate is as low as a few thousandths, which is far better than the few percent of overseas platforms. Therefore, we believe that under the current efficient and low-cost mature third-party payment system, the necessity of independent blockchain stablecoins to be popularized in China is not high, so the impact on existing businesses is limited. On the other hand, Internet companies related to cross-border payments are more actively deploying the field of stablecoins. We believe that Internet companies have advantages in the layout of stablecoins: 1) User scenarios: Amazon and other companies have hundreds of millions of users and mature payment scenarios (such as cross-border e-commerce), which can quickly promote the application of stablecoins; 2) Technical capabilities: Internet companies have technical research and development capabilities; 3) Ecological synergy: The closed loop of B-end (supply chain) + C-end (retail payment) can strengthen the network effect of stablecoins. (Jinshi)