Hong Kong Aims to Launch Regulatory Framework for Stablecoins by End of Next Year

Hong Kong Aims to Launch Regulatory Framework for Stablecoins by End of Next Year

Hong Kong’s commitment to the virtual asset industry is evident as the government plans to introduce a regulatory framework for stablecoins by the end of next year. The government supports the industry and adheres to the principle of “same business, same risk, and same rules” for supervision, ensuring investor protection and compliance with international standards.

In the past five years, the number of financial technology companies in Hong Kong has experienced exponential growth, with more than 800 companies offering a range of services, including virtual banking, virtual insurance, and virtual asset transactions. The government actively participates in the virtual asset value chain and supports industry development.

Chen Haolian, the deputy director of the Hong Kong Financial Services and Treasury Bureau, recently announced the government’s intention to launch a regulatory framework for stablecoins, following a public consultation. The aim is to have the framework in place by the end of next year.

Furthermore, the Hong Kong government places emphasis on the development of Internet 3.0. It welcomes the industry and talented individuals to contribute to Hong Kong’s thriving fintech ecosystem.

The Hong Kong Monetary Authority will gradually establish the regulatory framework for stablecoins, with the goal of launching it before the end of next year. The government’s support for the virtual asset industry, as well as the issuance of tokenized green bonds earlier this year, demonstrates its dedication to the sector.