Fulao Investment, a subsidiary of Quanshi International (00381), signed a memorandum of understanding with the Yanji Municipal People's Government on possible cooperation in carrying out digital economy-related business matters in Hong Kong

Zhitong Finance App News, Right Knowledge International (00381) issued an announcement. On July 10, 2025, the Company's subsidiary, Fujian Laojiu Investment Group Co., Ltd. (Fulao Investment), signed a memorandum of understanding with the Yanji Municipal People's Government on possible cooperation in carrying out digital economy-related business matters (possible cooperation matters) in Hong Kong.

As the Executive Director and Co-Chairman of the Company, Academician Li Lizhong is an internationally recognized authority on blockchain and fintech. Its research results in the fields of decentralized ledger technology and financial system security have global influence. In 2025, it was awarded the title of “World Innovation Leader” by the United Nations Sustainable Development Goals Organization, and served as a member of the Global Leadership and Science and Technology Innovation Academicians Committee, demonstrating its outstanding contribution in promoting the integration of sustainable technology and social governance. Possible cooperation projects include two core projects and the innovative introduction of the RMB stablecoin mechanism:

(1) Industrial Digital Internal Circulation Empowerment Platform

Based on our super hybrid chain technology, we will build a global industrial data authorization system. The platform enables real-time storage and tokenization of enterprise production data and production factors, and introduces RMB anchored stablecoins for listed company bonds as an on-chain settlement tool to solve the financing difficulties of small and medium-sized enterprises due to lack of credit. For example, enterprises can convert on-chain accounts receivable into stablecoin assets to achieve second-level discounts and optimize cash flow.

(2) Cross-border points exchange system

Design a multilateral credit exchange system for Yanji's cross-border travel consumption scenario. The immutable nature of blockchain is used to ensure transparency in point issuance, and the points system of merchants in China, South Korea, and Russia is bridged through offshore RMB stablecoins. Consumers can exchange local spending points for stablecoins, pay directly to overseas partner merchants, break through foreign exchange controls and settlement cycle restrictions, and activate the vitality of border trade.

Adopting a “two-tier compliance framework”, the bottom layer is for Hong Kong licensed institutions to issue fiat-backed stablecoins to ensure financial compliance; the Yanji government designates swap transactions, which can open up international blockchains. This provides Chinese enterprises with special welfare benefits on e-commerce payment platforms for international trade, and promotes capital flow and trade facilitation. At the application level, the Yanji Municipal Government provides credit exchange authorization for cross-border scenarios to achieve collaborative supervision of capital flow and data flow, avoid loss of tax sources, and ensure enterprise compliance.

Expected benefits of possible cooperation include:

(1) Internal circulation platforms can gradually solve the problem of small and medium-sized enterprises removing inventory, complete the transfer of capital to the public, allow people to have the right to distribute surplus value during the consumption process, and form a unified market with the free flow of factors of production. (Based on improving the efficiency of on-chain asset authorization);

(2) The cross-border credit system is expected to attract more than 1,000 merchants from neighboring countries, drive cross-border industrial agglomeration in Yanji, and drive a sharp increase in tax and consumption;

(3) Build the country's first “blockchain+stablecoin” frontier trade credit pilot to provide a case for China to participate in international digital asset rule-making;

(4) Promote the implementation of AOM (means of production identification) standards in the Northeast Asia region; and promote the internationalization of RMB stablecoins pilot projects to promote cross-border trade downward, forming the first model for the implementation of the official application of RMB stablecoins.

(5) Academician Li Lizhong's team will take the lead in formulating the “Cross-border Stablecoin Compliance Operation Guidelines” and export the “Yanji Model” to other border cities.

This cooperation is not only a typical example of technology empowering the local economy, but also a microscopic implementation of the country's “internal and external double cycle” strategy. Yanji City is making every effort to build a digital finance center in Northeast China, and is using the “Belt and Road” Eurasian Digital Finance Center as a blueprint for development. With this cooperation, it is expected that it will further enhance its strategic position in the regional digital economy and cross-border finance.

The company is expected to form a two-wheel drive model of “industrial digitalization+cross-border capital circulation” by combining Yanji's policy dividends and location advantages with the underlying blockchain technology and cross-border financial innovation capabilities. If the pilot is successful, the model can be replicated to border cities across the country to provide critical infrastructure support for China to build a digital silk road.