US Treasury Secretary: 'Rumors China is developing a digital asset not pegged to the yuan'

JH Kim

Summary

US Treasury Secretary Scott Bessent said there are rumors that China is developing a digital asset not pegged to the yuan.
He noted that China is currently pursuing a state-led digital currency strategy centered on the digital yuan, a central bank digital currency (CBDC).
Market participants say that if a digital asset not directly linked to the yuan is actually developed, it could expand beyond the existing CBDC-centric framework, but with no specific plan, a cautious reading is warranted.

The US Treasury secretary said there are rumors that China is developing a digital asset that is not pegged to the yuan.

According to Watcher.Guru, a US media outlet specializing in virtual assets (cryptocurrencies), US Treasury Secretary Scott Bessent said on the 5th (local time), “There are reports that China is developing a digital asset that is not linked to the yuan, but instead based on another asset.”

Bessent did not provide further details in his remarks, such as the specific asset structure, the entity developing it, or the issuance mechanism. The Chinese government has also not issued an official position on the rumors.

China is currently pursuing a state-led digital currency strategy centered on the digital yuan, a central bank digital currency (CBDC). The digital yuan is being piloted and introduced in stages, with key goals including upgrading payment infrastructure and strengthening financial oversight.

Market participants say that if a digital asset not directly linked to the yuan is indeed developed, China’s digital-asset strategy could expand beyond its existing CBDC-centric framework. However, with no concrete plans or timeline confirmed, some caution that the rumors require careful interpretation.