Xu Zhengyu: Virtual Asset OTC Institutions Currently Not Considered "Stablecoin Providers" Under the "Stablecoin Regulation".

September 10th - According to a press release from the Hong Kong government, Christopher Hui, the Secretary for Financial Services and the Treasury of Hong Kong, provided a written response to questions regarding the regulation of stablecoins during the Legislative Council meeting. Hui stated that virtual asset over-the-counter trading firms currently do not fall within the category of "licensed offerors" under the "Stablecoin Provider" in the stablecoin regulation. Consequently, they are not allowed to solicit designated stablecoins from retail or professional investors. To prevent unlicensed offerors from circumventing regulations, the Hong Kong Monetary Authority will enhance publicity efforts to ensure compliance with relevant requirements and will closely monitor stablecoin transactions in the market. Hui emphasized that the Monetary Authority has not yet granted any licenses to any stablecoin issuers. When purchasing stablecoins through unregulated channels, the public must bear their own risks. Regarding the licensing regime for digital asset trading and custody service providers, Hui disclosed that the Treasury and the Securities and Futures Commission recently completed a public consultation from June 27 to August 29 and are currently reviewing the consultation feedback to formulate the details of the licensing regime. The legislative timeline will be announced in due course.