Hong Kong passes stablecoin law, clearing way for licensed issuers to sell to public
South China Morning Post - TechWednesday, May 21, 2025 at 11:49:19 AM
** Hong Kong has officially passed a new law regulating stablecoins—digital currencies pegged to stable assets like the US dollar. The legislation creates a licensing system for issuers, aiming to balance innovation with consumer protection. The head of the city’s monetary authority called the framework "risk-based, pragmatic, and flexible," signaling a cautious but welcoming approach to crypto.
What This Means: ** This isn’t just bureaucratic fine print—it’s a big step for Hong Kong’s ambitions as a crypto hub. By setting clear rules, the city is trying to attract legitimate players while keeping scams and instability in check. For everyday investors, it means more confidence in stablecoins, but also tighter oversight. Watch this space: it could shape how other regions handle crypto, too.
— Curated via WP Now’s AI editorial system
