Hong Kong's Stablecoin Ordinance Set to Take Effect on August 1, 2025

New regulations will restrict retail access to fiat-backed stablecoins, allowing only licensed entities to issue and promote them.

Summary

Hong Kong's new stablecoin regulations will take effect on August 1, 2025, permitting only licensed entities to sell fiat-backed stablecoins and requiring a license for the promotion of regulated stablecoin activities. This move aims to enhance the governance and reliability of digital assets in the region.

Terms & Concepts
  • Stablecoin Regulation: A set of rules established by the Hong Kong government to govern the issuance and management of stablecoins.
  • Hong Kong Monetary Authority: The central banking institution responsible for maintaining monetary and financial stability in Hong Kong.