The Hong Kong "Stablecoin Regulation" will officially take effect on August 1, 2025. Song Min, the director of the Central China Development Research Institute at Wuhan University, stated that the emergence of stablecoins is an inevitable result driven by technology, but technology cannot replace regulation. China should cherish the opportunity to establish a regulatory framework, adopting a path of "system first, scenario landing, and gradual advancement." Hong Kong stablecoins will serve areas such as cross-border trade settlement and RWA asset tokenization, supporting the real economy. Hong Kong plays an irreplaceable strategic role in the internationalization of the renminbi, with the biggest breakthrough in cross-border trade settlement, necessitating the introduction of more renminbi-denominated financial products. -From NP-Line
