JD.com Enters Stablecoin Market Amid US Senate Bill Passage

Chinese e-commerce giant JD.com has announced its entry into the stablecoin market, with founder Liu Qiangdong revealing plans for a global licensing push aimed at facilitating cross-border payments. This move comes as the US Senate passed the GENIUS Act, a landmark bill establishing federal guardrails for stablecoins. Liu Qiangdong stated that JD.com aims to apply for stablecoin licenses in all major sovereign currency countries, with the goal of enabling faster and cheaper global transactions. He claimed that the stablecoin could reduce payment costs by 90% and deliver transactions within 10 seconds, a stark contrast to the traditional SWIFT system’s two-to-four-day settlement window.

JD.com's stablecoin plans initially target business-to-business (B2B) transactions but could eventually extend to consumer payments. Liu Qiangdong noted that after completing B-side payment, the company could move toward C-side payment, hinting at broader retail ambitions. He acknowledged that the project may face challenges and even fail, but emphasized that this is part of how business works. JD.com is pushing to go global while sticking to its supply chain-focused business model, aiming to deepen and strengthen its existing business models and make them international.

JD.com's push into the stablecoin sector comes amid rising global interest in stablecoin infrastructure, driven by new regulatory reforms. The GENIUS Act, which passed the Senate, initially failed a cloture vote in May due to Democratic opposition to US President Donald Trump’s connections to the cryptocurrency industry. However, last week, the Senate voted to invoke cloture for the bill, setting it up for debate and a full floor vote. The bill may still face hurdles in the Republican-held House. Stablecoin issuer Circle CEO Jeremy Allaire suggested that the stablecoin breakthrough moment isn’t far off, comparing it to the iPhone moment for developers.

JD.com's entry into the stablecoin market aligns with the growing interest in digital currencies among major corporations. The company's plans to apply for stablecoin licenses in major countries and its goal of reducing cross-border payment costs and settlement times highlight its commitment to leveraging digital currencies to enhance its e-commerce operations. The passage of the GENIUS Act in the US Senate provides a regulatory framework that is expected to foster innovation in the digital currency space while ensuring consumer protection and financial stability. As more companies explore the use of stablecoins, the digital currency landscape is poised for significant growth and transformation.