Chinese tech giants Ant Group and JD.com have reportedly suspended their plans to issue stablecoins in Hong Kong, according to people familiar with the matter.

The companies shelved their projects after receiving guidance from regulators, including the People’s Bank of China (PBOC), the central bank, and the Cyberspace Administration of China (CAC), instructing them to “pause further progress” on the initiatives, according to the sources.

The move comes just months after Hong Kong passed its Stablecoin Ordinance in May, which officially took effect on August 1. As of the end of September, the Hong Kong Monetary Authority (HKMA) had received stablecoin license applications from 36 institutions.

Ant Group had announced in June that it would participate in Hong Kong’s stablecoin pilot program, while JD.com also expressed its desire to join. The latest suspension suggests that Chinese mainland regulators are taking a cautious stance on the participation of Chinese firms in Hong Kong’s emerging digital asset framework.