China P2P Stablecoin Wallets Surge 43x Despite Bans

Despite ongoing bans, China has experienced a substantial surge in peer-to-peer stablecoin usage, according to a new report from blockchain analytics firm Chainalysis. The number of unique wallets sending peer-to-peer stablecoin transactions grew 43-fold between the first quarter of 2024 and the second quarter of 2026.

Growth in Self-Custodied Holdings

Chainalysis recorded $104.1 billion across 18.1 million transfers involving China's self-custodied stablecoin holdings during the reporting period, which ran from July 2025 to June 2026. The data shows that stablecoin holdings turned over 33.2 times per year, more than three times the global average of 9.3, a pattern the analytics company attributes to users treating stablecoins as working capital.

The report estimates that China's broader crypto economy is worth at least $176 billion. Domestic peer-to-peer activity accounted for 59.1% of the total, representing a 3.5-fold increase compared to its share in the 2025 reporting period. Additionally, China's domestic stablecoin transfer volume added $4.9 billion in March 2026, marking the largest monthly increase recorded.

Regional Context in East Asia

Alongside the figures from mainland China, Chainalysis ranked South Korea as East Asia's largest crypto economy at $449.1 billion, with activity growing 12.3% in the year leading up to June 2026. Meanwhile, Hong Kong stood out for institutional activity, accounting for 16% of service inflows and receiving nearly $24 billion in inbound business-to-business flows following the issuance of its first stablecoin licenses in April.

Key facts

• Unique wallets sending P2P stablecoin transactions in China grew 43 times between Q1 2024 and Q2 2026.
• Chainalysis recorded $104.1 billion across 18.1 million transfers involving China's self-custodied stablecoin holdings between July 2025 and June 2026.
• Stablecoin holdings in China turned over 33.2 times per year, compared to the global average of 9.3.
• China's crypto economy is estimated to be worth at least $176 billion, with domestic P2P activity accounting for 59.1% of the total.