Hong Kong’s Stablecoin Ordinance Takes Effect August 2025, Opening Doors for Global Issuers
Hong Kong Financial Secretary Paul Chan has confirmed that the Stablecoin Ordinance will take effect in August 2025, marking a major milestone in the city’s digital asset regulation. The law, passed by the Legislative Council in May, introduces a comprehensive licensing regime for stablecoin issuers, requiring any entity issuing fiat-backed stablecoins in Hong Kong—or Hong Kong dollar-backed stablecoins globally—to obtain a license from the Hong Kong Monetary Authority.
This new framework is designed to attract institutions from around the world, offering flexibility to issue stablecoins pegged to multiple fiat currencies, not just the Hong Kong dollar. The ordinance aims to provide robust guardrails for stablecoin activities, ensuring financial stability, anti-money laundering compliance, and investor protection.
Hong Kong’s move positions it as a leading global hub for digital assets, with analysts expecting a surge of international stablecoin issuers to enter the market under this clear and supportive regulatory regime
