AnchorX, a Kazakh stablecoin issuer, recently announced the launch of AxCNH, the world's first officially licensed Kazakh stablecoin pegged to the offshore Chinese Renminbi (CNH), at the 10th Belt and Road Summit in Hong Kong. This new stablecoin targets applications such as cross-border payments, trade settlement, digital asset trading, and RWA. AnchorX has also signed memoranda of understanding with several international companies.
Offshore RMB stablecoin AxCNH debuts
The summit, co-hosted by the Hong Kong SAR government and the Hong Kong Trade Development Council, reportedly marked the global launch of AxCNH. AnchorX, a Central Asian company, is the first to receive a stablecoin license from the Astana Financial Services Supervisory Authority (AFSA) in Kazakhstan. The newly launched AxCNH is pegged to the offshore RMB and aims to become a new tool for cross-border payments and settlements.
At the summit, AnchorX also signed several memoranda of understanding with Zoomlion, Lenovo, China Brilliant Global, Kazakh exchange ATAIX Eurasia, and Chinese public blockchain company Conflux to jointly expand the application of AxCNH in international trade payment and settlement, digital asset trading, and RWA.
China's Belt and Road trade reaches US$3.1 trillion, AxCNH helps reduce settlement costs
China's trade with countries along the Belt and Road Initiative continues to grow. By 2024, China's total trade with these countries was expected to reach RMB 22.1 trillion (approximately US$3.1 trillion), accounting for 50.3% of China's total trade.
The launch of AxCNH coincides with the surge in cross-border settlement demand, and is expected to help businesses mitigate the risks associated with exchange rate fluctuations while reducing cross-border transaction and settlement costs, benefiting both Belt and Road countries and Chinese businesses.
What is offshore RMB and how does it differ from onshore RMB?
Offshore Renminbi (CNH)
First, CNH refers to the RMB circulating outside of China, such as in Hong Kong, Singapore, and London. The exchange rate is determined by the international market, making it relatively flexible and enabling direct cross-border foreign exchange transactions and international investment. Therefore:
"If investors open a RMB account in Hong Kong or buy and sell RMB at an international bank, it's CNH."
Onshore Renminbi (CNY)
CNY is the Renminbi (RMB) that circulates in China. It is controlled by the People's Bank of China (PBOC), and the exchange rate is determined by the bank. In other words:
"As long as investors deposit RMB in banks in Beijing, Shanghai, Shenzhen and other places, or in local company accounts in China, they are all considered CNY."
AnchorX and Zoomlion take the lead in pilot program to reduce settlement costs
AnchorX has pioneered a pilot program for AxCNH with Zoomlion, a renowned Chinese construction machinery manufacturer. The two companies have completed AxCNH transaction testing on the Conflux public blockchain and will continue to strengthen their collaboration to improve cross-border payment efficiency, helping Zoomlion and other Belt and Road Initiative partners further reduce settlement costs and accelerate capital flows.
Listing ATAIX with AxCNH:KZT and AxCNH:USDT
Furthermore, AnchorX has signed a contract with ATAIX Eurasia, a licensed Kazakh exchange. AxCNH will be available to users of the exchange in two trading pairs : "AxCNH:KZT" and "AxCNH:USDT." AxCNH has also completed deployment and preliminary testing on the Conflux public blockchain, laying the technical foundation for future, larger-scale applications.
(Note: KZT is the legal tender of Kazakhstan.)
The article "Kazakhstan's AnchorX launches offshore RMB stablecoin AxCNH in Hong Kong to support the Belt and Road Initiative" first appeared on ABMedia ABMedia .
