Companies offering or marketing stablecoins to retail investors must obtain approval from the Hong Kong Monetary Authority. The process includes meeting compliance requirements around reserve assets, redemptions at par value, segregation of client funds and following anti-money laundering rules.
“Financial innovations, such as digital assets, not only enhance transparency, efficiency, inclusiveness and risk management in financial services, but also facilitate more effective capital allocation to the real economy,” he said.
Stablecoins around the worldPaul Faecks, CEO of Plasma, told Decrypt that the focus for developing the stablecoin industry should be on “creating open, neutral rails that anyone can build on, while still being robust enough to power global payments for everyday people and retailers”.
“As the stablecoin space continues to grow, mature, and gain institutional acceptance, the real consumer and retail applications for the technology will be unlocked, and it will become highly relevant in day-to-day life for millions of people,” he said.
Hong Kong and crypto
