The Hong Kong Monetary Authority will launch a stablecoin sandbox soon

According to Ming Pao, Hong Kong Financial Secretary Paul Chan Mo-po disclosed in the latest Budget that the Hong Kong Monetary Authority will launch a "sandbox" in the short term to allow institutions interested in issuing stablecoins to test stablecoins within a controllable range. issuance process, business model, investor protection and risk management systems, as well as communicating on future regulatory requirements.

Paul Chan also mentioned that the Hong Kong government consulted the public on legislative proposals for establishing a regulatory system for stablecoin issuers at the end of last year, with the goal of establishing a regulatory system that not only protects financial stability but does not stifle innovation.

Chen Maobo added that based on the principle of "same business, same risks, same rules", the Hong Kong Securities and Futures Commission implemented the licensing system for virtual asset trading platforms in June last year. In order to strengthen the protection of investors and consumers, the Hong Kong government is launching a consultation on the supervision of over-the-counter trading services for virtual assets. It will continue to promote Hong Kong through a multi-pronged approach such as timely release of information, comprehensive public education, and strengthening law enforcement. Robust and responsible development of virtual markets.