The Myth of Stablecoin Capital Preservation Shatters! Hong Kong Launches 'Bloodbath' Regulation in August, Your Wealth Management is Being Precisely Targeted
"When the regulatory axe strikes stablecoins, the 'capital preservation myth' in the cryptocurrency world should awaken!"
Core of the Event: Hong Kong Takes Strong Action, Stablecoins are No Longer a 'Lawless Zone'
The Chairman of the Hong Kong Financial Development Bureau, Hong Pi-Zheng, recently stated: Stablecoins should not be used as short-term speculation tools, and a regulatory system will officially start in August! This statement directly shatters the illusion in the crypto world that 'stablecoins = capital preservation.' According to the new regulations, all stablecoin projects involving public funds must operate with a license, reserves must be 100% transparent, and regular third-party audits must be conducted. Violators will be penalized to the point of 'losing everything'!
Personal Opinion: This Move by Hong Kong is Cutting Through Chaos to Save the Market
The warning signs of regulation have long been evident:
Hong Kong has already implemented a licensing system for virtual asset service providers this year, but stablecoins have remained a 'grey area.' Hong Pi-Zheng's statement effectively draws a red line for the market; want to raise funds with stablecoins? First, pass the compliance test!
Historical Lessons are Too Painful:
The 2022 Terra's UST depegging incident saw a market value of $40 billion vanish overnight; in 2023, a stablecoin project was revealed to have misused 90% of its reserves for speculation, resulting in an 80% crash. Hong Kong's actions aim to close the loophole of 'opaque funding pools.' Background of Hong Pi-Zheng as a 'Tough Character':
As a former senior executive of the Hong Kong Monetary Authority, Hong Pi-Zheng has led multiple financial reforms. His targeting of stablecoins this time suggests that Hong Kong wants to seize the position of 'global cryptocurrency compliance center,' attract legitimate players, and oust the unruly 'funding schemes.'
Must-Read for Investors: Avoiding the Pitfalls of Stablecoins After August
Misconception: "Low-cap stablecoins offer high returns, should I take a gamble?"
After August, unlicensed stablecoins will be directly delisted! Those still speculating now may be experiencing the 'last frenzy.'
Hong Kong's new regulations require proof of reserves to be public. Although USDT previously claimed '100% reserves,' it has been exposed for mixing in commercial paper, and may be required to 'hard peg' in the future.
Conclusion: Can Your Stablecoin Pass Hong Kong's Test?
This move by Hong Kong is cutting through chaos to save trust. When 'capital preservation' becomes 'true capital preservation,' the crypto world can bid farewell to the vicious cycle of 'shearing leeks'!
If you want to delve deep into the crypto world but can't find direction, and want to quickly understand the information gap, click on my profile and follow me for first-hand information and in-depth analysis!
