The Hong Kong Monetary Authority (HKMA) has announced new criteria for obtaining a license, which will require stablecoins to be fully backed by reserves. These reserves must be “at least equal to the par value” of the stablecoin. This move aims to ensure the stability and security of stablecoins in circulation. By requiring full backing with reserves, the HKMA aims to prevent any potential risks or instability associated with stablecoins. This criteria is part of the HKMA’s efforts to regulate and supervise the use of stablecoins within Hong Kong’s financial system.
HomeDIGITAL ASSETS REGULATORYworldwide-stablecoinHong Kong's Proposed Requirement for Stablecoin Issuers to Obtain License - Consultation...