dForce proposes integrating AxCNH, a yuan-pegged stablecoin, to expand compliant CNH yield opportunities and reshape global DeFi markets.
dForce, a well-known DeFi infrastructure platform, has put forward a new proposal. The proposal suggests integrating the offshore Chinese Yuan-pegged stablecoin, AxCNH, into its ecosystem. AxCNH is issued by a fintech company based in Hong Kong – AnchorX. This stablecoin will be initially introduced on the Conflux blockchain via Unitus Finance, one of the lending markets of dForce.
To begin with, this move makes dForce an early supporter of CNH-based DeFi products. According to the proposal, this strategy helps the platform to meet its goal of becoming the “Gateway to Compliant CNH Yield on Chain.” Although currently AxCNH has a low liquidity and trade activity, the long-term prospects of this look promising. As more people are interested in using CNH stablecoins, early adoption may bring about some great benefits.
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In addition, AnchorX is already recognized as a regulatory pioneer. In June 2025, the company got a stablecoin-related approval by the Astana Financial Services Authority (AFSA) of Kazakhstan. This was an important step for its expansion in the world. AxCNH launched (July of 2025) on Conflux eSpace, with liquidity pools now live on Swappi DEX. Despite a small market cap, the stablecoin is well backed by CNH reserves and redeemable at a 1:1 ratio.
Moreover, dForce believes that CNH stablecoins can form a major part of the global DeFi market. China’s overall ambition to pursue yuan internationalization is supportive of this trend. After a significant fall in the US dollar in early 2025, there was an increase in the interest in alternatives such as CNH. Financial institutions and tech giants in the Chinese market are now looking into similar stablecoin projects.
For example, companies such as JD.com and Ant Group are reportedly preparing to join the CNH stablecoin space. As a result, the market may expand quickly in the next few years. Analysts predict the global stablecoin market will grow to as much as $3.7 trillion by 2030. Within that, CNH stablecoins are likely to be one of the fastest-growing segments.
Additionally, there are several benefits dForce sees with supporting AxCNH. It permits CNH-denominated yield opportunities, giving users more options than U.S. dollar pegged assets. Borrowing AxCNH against trusted assets such as USDC, ETH or CFX creates opportunities for new trading strategies. This is also part of Conflux’s focus on China-facing and compliance-friendly use cases.
However, the proposal is also not without risk. These are liquidity shortages, market volatility, and potential regulatory changes. AxCNH will not serve as a collateral for avoiding system-wide risks. Borrowing will be possible only with whitelisted, already-established assets. Conservative caps on supply and borrowing will also limit the risk exposure.
To solve technical issues, the system will be using the Pyth oracles for the real-time CNH/USD exchange rate. These oracles do provide information from various sources, which helps to reduce the possibility of manipulation. Even so, the platform provides for continuous monitoring and adaptation as necessary.
In conclusion, dForce’s proposal to onboard AxCNH could be a turning point in CNH-linked DeFi. The integration would provide new tools for traders and investors while helping to support regulatory compliance. If approved, this step would make dForce a leader in an emerging market. In the long run, it may help shape the future of stablecoin finance outside the U.S. dollar.
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