Hong Kong’s stablecoin law takes effect on August 1

Monetary secretary Chan revealed {that a} second coverage assertion on the digital asset technique of Hong Kong might be revealed later this month. It would give attention to integrating monetary companies with innovation and increasing Actual-World utility situations for digital belongings.

On the Summer season Summer season Summit of 2025, Chan confirmed that town had already launched licensing programs for digital belongings buying and selling platforms and stablecoins. Hong Kong additionally promoted new laws for guardianship and OTC companies. Chan stated earlier that the Securities and Futures Fee (SFC) rated digital asset derivatives for skilled buyers, beginning with BTC and ETH perpetuals.

Hong Kong revealed his first coverage assertion on the event of digital belongings in October 2022, with regard to the regulation of crypto exchanges and the approval of listed funds (ETFs). Chan believes that the way forward for digital technical progress in Hong Kong might be powered by blockchain and web3 applied sciences.

The monetary secretary additionally stated that the laws for the regulation of the Stablecoin was decided for the approaching passage. He added that he and his colleagues on the Monetary Providers & The Treasury Bureau and the Hong Kong Financial Authority (HKMA) labored arduous to get the related licensing regime to go reside this yr.

Chan says it’s important to discover digital financing in the actual economic system

Chan stated that monetary innovation was the place Hong Kong needed to win to make town a monetary powerhouse. He added that it was important to discover methods to make use of digital financing to higher assist the event of the actual economic system, together with in monetary and cross -border monetary companies.

Chan defined that the convergence of Web3 and AI unlocked new frontiers in Finance. Decentralized AI algorithms improved credit score assessments, managed good contracts extra precisely and delivered personalised funding methods. Along with Finance, the expertise remodeled the provision chains that information administration in well being care and created new compelling gaming experiences. Web3 and AI remodeled corporations and public companies, stimulated innovation and effectivity at each flip.

“We are going to reveal a second coverage assertion in regards to the improvement of digital belongings. It would relate to the usage of Web3 to hurry up the event of conventional monetary companies, to strengthen the actual economic system and to strengthen the appliance of digital belongings applied sciences.”

–Paul ChanMonetary secretary of Hong Kong

The monetary secretary additionally stated that town provided a steady surroundings for buyers within the midst of a sophisticated geopolitical panorama. He added that the HK authorities additionally proactively attracted extra established mainland corporations to state within the SAR (particular administrative area) to assist its abroad enlargement plans.

The Stablecoin Act of Hong Kong will take impact on August 1

🚀 Jack Ma’s Ant Worldwide pursues Stablecoin licenses in Hong Kong & Singapore!

📅 The brand new Stablecoin laws from Hong Kong will take impact in August.

🌏 This step strengthens the blockchain infrastructure for cross-border funds and monetary innovation in Asia. pic.twitter.com/igfmvhffj5

– Aivora (@aivoraex) 12 June 2025

A authorities announcement Earlier this month it confirmed that the brand new Stablecoin of Hong Kong will come into power on 1 August and releases the highway for regulated situation, which positioned town for the American and mainland China, which continued to take a cautious perspective on crypto. The monetary and technological sectors of town additionally positioned themselves to make use of Stablecoins in conventional financing strategies.

The HK legislative council accepted the invoice that regulated Stablecoins on 21 Might, however the authorities didn’t announce if it might come into impact on the declaration of 6 June. Daniel TSE, director of Futu Securities Worldwide, stated that buyers have been more and more inquisitive about Stablecoins, and added that the platform of his firm had seen a rise in stabile-linked investments.

Daniel Tse additionally stated that his firm noticed Stablecoins as a promising highway to progress and innovation within the brokerage business. He added that prospects may commerce tokenized mental properties or work sooner or later, in order that new alternatives for buyers and brokers may very well be created.

Wu Tianhua, founder and CEO of Tiger Brokers, revealed that his firm was very optimistic in regards to the rising demand for a connection between Web2 and Web3, which inspired the event of his one-stop platform. He added that Tiger Brokers had prolonged his deposit choices with Bitcoin and Tether’s USDT. The brokerage is of the opinion that supporting Stablecoin deposits will enhance capital effectivity and adaptability out there. It additionally claimed that Stablecoins would assist to scale back the currencies in cross -border transactions, whereas the person expertise and the Mobility fund is improved.