Greetings from the Asia Pacific Morning Brief—your key overview of overnight crypto updates influencing regional markets and global perceptions. Pour yourself a green tea and stay tuned.
Former Chinese central bank governor Zhou Xiaochuan cautions against stablecoin adoption due to systemic risks. Cases of crypto voice phishing in Korea have surged by 6.6 times this year. The evolving APAC markets continue to redefine the digital asset landscape.
Warning from Former PBoC Chief on Stablecoins
Former Governor of the People’s Bank of China, Zhou Xiaochuan issued extensive warnings against the adoption of stablecoins in China. Zhou’s thorough analysis, published by the CF40 think tank, highlighted various risks from a central banking viewpoint. His remarks challenge increasing calls from policy advisors to accept digital currencies.
Zhou pinpointed two main concerns for central banks regarding stablecoins: firstly, “currency over-issuance,” where operators may not truly hold 100% reserves when issuing stablecoins, and secondly, high leverage effects that can amplify monetary derivative impacts during circulation. He criticized inadequate regulatory frameworks in the US GENIUS Act and Hong Kong ordinances.
The previous governor questioned whether full tokenization could feasibly supplant account-based payment systems. Additionally, Zhou warned against excessive utilization in asset speculation, raising alarms about fraud risks and financial instability. He voiced concerns over potential threats to China’s capital controls and monetary sovereignty.
Increase in Crypto Voice Phishing in Korea
Voice phishing scams involving cryptocurrency in South Korea have skyrocketed this year. Police data reveals that 420 crypto-related voice phishing incidents occurred between January and July 2025, marking a 6.6-fold rise compared to 64 cases during the same timeframe last year.
Scammers usually impersonate legal or financial officials, informing victims their accounts have been compromised. They demand cryptocurrency transactions worth hundreds of millions of won for “asset verification.” Recent instances included victims losing 190 million won each in Tether and Bitcoin transfers.
BeInCrypto’s Asian News Coverage
Thailand has introduced the world’s first publicly offered tokenized government bond with a partnership from KuCoin.
MetaPlanet is facing obstacles as changes in Japanese regulation jeopardize its Bitcoin proxy premium strategy.
Despite stringent privacy regulations, US and Chinese applications are collecting European data, with blockchain presenting potential solutions.
Japan’s FSA is suggesting crypto tax reforms for 2026, featuring a 20% flat rate and provisions for loss carryforward.
Additional Highlights
A whale transaction obliterated Hyperliquid’s XPL order book, causing prices to skyrocket by 200% in mere minutes.
MEXC refuted claims of freezing a trader’s $3.1 million for profit reasons, citing risk control measures instead.
Coinbase has limited sensitive roles to US citizens amid concerns over North Korean infiltration.
Crypto whales are accumulating ARB, UNI, and PEPE tokens, positioning themselves for potential gains in September.
The post China’s Stablecoin Warnings, Korea’s Crypto Scams and More appeared first on BeInCrypto.
