CICC's recent analysis highlights that WeChat Pay and Alipay function similarly to RMB stablecoins, acting as private currencies rather than government-issued ones. The report notes that while digital technology enhances payment efficiency, it lacks decentralization. These platforms, akin to narrow banks, offer stablecoin-like features, though their use in retail payments remains limited. The analysis also points out that third-party payment platforms like WeChat, Alipay, Apple Pay, and PayPal have established significant network effects and economies of scale, giving them a competitive edge. Meanwhile, the growth of US dollar stablecoins is bolstered by the dollar's international status, potentially promoting dollarization. Hong Kong's role as a testing ground for RMB stablecoins is seen as beneficial for balancing innovation with financial stability and monetary sovereignty.