The recently launched "stablecoin regulations" in Hong Kong have sparked widespread discussion in the industry. Will this new policy promote the compliant development of the stablecoin market, or could it potentially hinder innovation in the industry? This question deserves in-depth exploration.

According to the regulations, the issuance of fiat stablecoins or stablecoins pegged to the Hong Kong dollar requires a license from the Hong Kong Monetary Authority. It is worth noting that this regulation has a 6-month transition period, ending on February 1, 2026.

The situation is slightly different for globally recognized stablecoins such as Circle's USDC and Tether's USDT. Since they are not issued in Hong Kong and are not pegged to the Hong Kong dollar, they theoretically do not need to apply for a Hong Kong license. Furthermore, their over-the-counter (OTC) trading in Hong Kong is not directly regulated by this regulation.

However, if these international stablecoin issuers wish to obtain a license in Hong Kong, they will face stricter scrutiny. In addition to needing to comply with KYC (Know Your Customer) rules, they may also need to meet other qualifying requirements.

It is worth noting that if a license is not applied for or approved after the transition period and operations in Hong Kong continue, the responsible parties may face a maximum penalty of six months in prison. This harsh measure undoubtedly serves as a wake-up call for market participants.

Will this move affect Hong Kong's status as an international financial center? Or will it bring a more regulated development environment for the stablecoin market? These questions remain to be answered by time. In any case, the introduction of this policy marks an important step for Hong Kong in strengthening digital asset regulation and provides a reference for the formulation of relevant policies in other global financial centers.