Hong Kong Legislator: Stablecoins Have No Speculation Opportunities; Regulations Refer to Peers from the US, Japan, Singapore, and the EU

According to BlockBeats, on August 3, Hong Kong legislator Chiu Takan stated in a special interview that the core characteristic of fiat-backed stablecoins is that they must be 100% backed by highly liquid currency-like assets. The main function of fiat-backed stablecoins is still international payments, with no opportunity for speculation.

During the formulation of the (stablecoin regulations), references were made to the MiCA (Markets in Crypto-Assets Regulation) of the United States, Japan, and the European Union, as well as Singapore's (Payment Services Act) (PSA), which considers international circulation and demand, adhering to international and national standards. In addition, legislator Chiu Takan also stated that Hong Kong's stablecoin should not compete for the market of existing products but should explore new markets. (Daily Economic News)