The post Chinese users turn to ‘U cards’ to get around crypto rules: Asia Express appeared com. Locally referred to as “U cards,” overseas Visa or Mastercards linked to stablecoin balances such as USDT, have surged in popularity on Chinese social platform Xiaohongshu, also known as Little Red Book. Posts explain how to obtain the cards with ease and use them for everyday overseas payments, such as subscriptions to services. Such cards allow users to spend dollar-denominated stablecoins while merchants receive fiat currency, meaning Chinese businesses never directly touch crypto. Conversion is handled by overseas banks or licensed payment institutions, placing the transaction outside China’s domestic financial rails. The trend recently drew attention from Caixin, one of China’s most influential finance outlets, which examined the rise of U cards and the legal questions surrounding their use. According to the report, many users initially approach U cards as a workaround for cross-border payments rather than as a crypto product. Social media tutorials often focus on opening a foreign bank card and linking it to Apple Pay or Visa networks, with little emphasis on digital assets themselves. U cards were once a secret of China’s crypto community, but they are now reaching mainstream users. (AB Kuai. Dong) Direct cryptocurrency payments are banned in China, as are key crypto activities such as trading and mining. Liu Honglin, founder of Shanghai Mankun Law Firm, said on X that users making consumer payments face relatively limited exposure to crypto, as asset conversion occurs offshore and settlement stays within conventional card networks. In July, US President Donald Trump signed the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act into law, accelerating global interest in regulated stablecoin issuance. Hong Kong followed with its own stablecoin rule, which has.
