Tomorrow, Hong Kong's "Stablecoin Regulations" will come into effect, and I came across an interesting comment which is——

"Eunuchs fantasize about sex life, thinking that finding a partner can lead to everlasting love"

Of course, this comment is just for fun; let me summarize the key points of the "Stablecoin Regulations" for a better understanding of Hong Kong's policy this time.

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✅ Key Timeline

1⃣ Institutions seeking to apply in advance must submit applications before September 30 to receive expedited processing.

2⃣ The first batch of licensed stablecoin issuing institutions is expected to be announced in early 2026, with the first phase issuing only 3-4 licenses, totaling no more than 10 initially.

3⃣ For existing stablecoin issuers operating in Hong Kong, there will be a six-month transition period from August 2025 to January 2026, and they must apply for licenses before November 2025, or they will face liquidation.

✅ Strict Licensing Requirements

1⃣ Applicants are required to maintain a minimum paid-up capital of HKD 25 million and must establish a substantial operational entity in Hong Kong, including a local office and resident staff.

2⃣ All issued stablecoins must have 100% reserve asset backing.

✅ KYC Requirements Spark Industry Debate

1⃣ A comprehensive KYC protocol has been introduced, requiring stablecoin holders to complete identity verification, and suspicious wallet addresses must undergo mandatory verification, with data retention for at least 5 years.

2⃣ For redemption processing, regulations require requests to be processed within one working day after completing necessary conditions such as identity verification and fund path confirmation.

✅ Strong Industry Interest

1⃣ There are 50 to 60 potential applicants, most of whom are payment institutions and well-known internet companies, many of which have support from China.

2⃣ Confirmed applicants include JD Technology, Ant International, Standard Chartered Bank (Hong Kong), and Yuan Chuang Technology.