The stablecoin wave is sweeping across global financial markets, triggering a surge in investor interest, institutional research, and strategic capital allocation. On June 4, the A-share stablecoin index rose over 1%, with stocks like Zhongke Jincai and G&D Technology hitting涨停 (daily trading limits), marking gains of more than 36% in just four trading sessions. Companies such as Cuilin Shares, Jingbei North, and Shenzhou Information also saw significant upward momentum.
This momentum isn’t limited to stock prices—it's fueling an unprecedented wave of institutional engagement. In the past week alone, over 30 brokerage-led roadshows and analyst calls have been held or scheduled, focusing exclusively on stablecoins. Leading firms—including CITIC Securities, CICC, Guotai Junan, Haitong Securities, GF Securities, Changjiang Securities, and Northeast Securities—have collectively published dozens of research reports, signaling a deepening institutional embrace of digital finance infrastructure.
What Are Stablecoins?
Stablecoins are blockchain-based digital currencies pegged to traditional fiat currencies like the US dollar or Hong Kong dollar, maintaining price stability through 1:1 reserves. Unlike volatile cryptocurrencies such as Bitcoin, stablecoins serve primarily as efficient mediums of exchange, bridging the gap between conventional finance and decentralized ecosystems.
Recent regulatory milestones have accelerated their legitimacy. On May 30, the Hong Kong Special Administrative Region government officially enacted the Stablecoin Ordinance by gazette notification, establishing a comprehensive legal framework for fiat-backed stablecoin issuance and supervision. Around the same time, the U.S. Senate passed the GENIUS Act with strong bipartisan support—marking the first federal-level regulatory framework for stablecoins in America.
These developments signal a pivotal shift: stablecoins are no longer fringe experiments but emerging components of global financial architecture.
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Brokerages Rally Around Digital Currency Research
With regulation gaining clarity, brokerages have launched an intensive knowledge campaign to educate investors and uncover early opportunities.
Data from brokerage event platforms show more than 30 stablecoin-focused calls and webinars were hosted or planned within seven days. These sessions span multiple angles—from technical mechanisms to macroeconomic implications.
- CITIC Securities explored how the new ordinance impacts industry players and value chains.
- Northeast Securities’ Digital Economy Team convened experts for an in-depth legislative breakdown.
- Western Securities demystified the concept with a session titled "What Are Stablecoins?", covering definitions, national strategies, and use cases.
- CICC is set to host a panel discussion titled "Origins, Future Outlook, and Regulatory Developments in Stablecoins."
Even marketing styles have evolved. To boost engagement, some brokerages adopted internet-savvy formats—such as Huachuang Securities’ June 3 call titled "Questioning Stablecoins → Learning Stablecoins → Understanding Stablecoins," echoing a popular Chinese meme structure used to describe progressive mastery.
Decoding Investment Signals in the Stablecoin Surge
Beyond awareness-building, brokerages are actively mapping investment themes across sectors:
Macro & Strategy:
- CICC: “Global Monetary Shift VII: How Stablecoins Reshape Money and Assets”
- GF Securities: “Stablecoin Momentum: Impacts Across Asset Classes”
- Huatai Securities: “Ten Key Questions About Stablecoins”
Industry-Specific Analysis:
- CITIC: Examined how stablecoin issuance could disrupt banking models
- Kaiyuan Securities: Highlighted digital currency investment opportunities post-regulation
- Huayuan Securities: Linked Hong Kong’s ordinance to potential growth in digital entertainment and media monetization
These reports reflect a broader realization: stablecoins aren’t just a payment tool—they represent a foundational upgrade to financial infrastructure.
Why Stablecoins Matter: Strategic Capital Realignment
According to Horace Huo, a renowned business strategist interviewed by the International Financial News, the brokerage frenzy reflects two structural shifts:
- Regulatory Breakthroughs: Clear rules from both Hong Kong and Washington reduce uncertainty, inviting institutional participation.
- Strategic Infrastructure Bet: Capital markets now view stablecoins as core components of tomorrow’s digital economy.
“Stablecoins have moved from being distant innovations to becoming strategic coordinates for capital allocation,” Huo explains. “This isn’t just hype—it’s about positioning for systemic change.”
Stablecoins combine the stability of fiat with the programmability and speed of blockchain technology. They enable near-instant cross-border settlements, reduce transaction costs, and integrate seamlessly into smart contract ecosystems—making them ideal conduits between traditional finance (TradFi) and decentralized finance (DeFi).
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The Geopolitical Dimension of Stablecoin Adoption
The race isn’t purely technological—it’s geopolitical.
- The U.S. aims to reinforce dollar dominance through regulated stablecoin frameworks like the GENIUS Act.
- Hong Kong seeks to establish an “Eastern Standard,” leveraging its new ordinance to become a global hub for compliant digital asset innovation.
In this context, stablecoins emerge not merely as financial instruments but as tools of monetary influence—capable of redefining settlement systems, reserve allocations, and cross-border trade flows.
Huo emphasizes: “Stablecoins aren’t just another short-term market theme. They may become the underlying refreshers of the global financial system.”
Key Questions Investors Are Asking
To address growing curiosity and skepticism, here are frequently asked questions distilled from recent market dialogues:
Q1: What exactly is a stablecoin?
A stablecoin is a blockchain-based digital asset pegged 1:1 to a fiat currency (typically USD). Users exchange real money for digital tokens that maintain stable value, enabling fast transfers without volatility.
Q2: How does it differ from central bank digital currencies (CBDCs)?
While both are digital forms of money, CBDCs are issued and centrally controlled by central banks—essentially electronic cash. Stablecoins are privately issued but backed by reserves; they operate on decentralized networks and don’t require central clearing.
Q3: What risks do stablecoins carry?
Primary risks include issuer insolvency, reserve opacity, and poor liquidity management. Regulatory compliance and audit transparency are critical safeguards.
Q4: Can stablecoins earn interest?
No—they’re designed for stability and payments, not yield generation. However, they can be lent or staked in DeFi protocols where third parties offer returns (with added risk).
Q5: Who benefits most from stablecoin adoption?
Banks gain efficiency; fintechs unlock new services; traders access faster settlements; and underserved populations gain financial inclusion via low-cost global transfers.
Q6: Is this trend sustainable beyond speculation?
Yes—if backed by sound regulation and real-world utility. Hong Kong’s ordinance sets a precedent for accountability, increasing long-term viability.
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Final Thoughts: A New Chapter in Finance
The sudden burst of attention—from equities rallies to packed analyst calls—reveals a deeper truth: stablecoins are catalyzing a structural transformation in finance.
With clear regulation emerging in key jurisdictions, institutional confidence is rising. Stablecoins are no longer speculative novelties but are increasingly viewed as essential building blocks of next-generation financial infrastructure.
For investors, developers, and policymakers alike, understanding stablecoins is no longer optional—it’s imperative.
Core Keywords: stablecoin, blockchain technology, digital finance infrastructure, cryptocurrency regulation, fiat-backed stablecoin, financial innovation, decentralized finance (DeFi), global monetary system