Tether, the issuer of the stablecoin USDT, is preparing to launch a new stablecoin pegged to the Chinese yuan.
According to Chinese news site ChainNews, the token, CNHT, will be launched soon—though no official date was provided. Its investors will reportedly include Zhao Dong, who holds shares in Tether’s sister company, Bitfinex.
Tether has already launched its flagship stablecoin on several blockchains, including Bitcoin, Ethereum, EOS, Tron and Algorand. But so far, Tether is only pegged to the US dollar and the euro.
Dovey Wan, a prominent Chinese fund manager, said on Twitter that she saw little use for such a token, since Chinese traders would still likely favor the dollar-denominated variety.
Wan also said the token could attract ire from regulators—given the Chinese government's own stated plans to launch a yuan-backed digital currency.