Hong Kong Legislative Council Member: There is no opportunity for speculation in stablecoins, and regulations will be formulated with reference to peers in the United States, Japan, Singapore, and the European Union.

On August 3rd, Hong Kong Legislative Council member Qiu Dagen stated in an exclusive interview that the core feature of fiat stablecoins is that they must be 100% backed by highly liquid monetary assets. Currently, the main function of fiat stablecoins is international payments, with no opportunity for speculation whatsoever.

During the drafting of the "Stablecoin Regulations", references were made to regulations from the United States, Japan, the EU's MiCA (Markets in Crypto-Assets Regulation), Singapore's Payment Services Act (PSA), with legislation considering international circulation and demand, and adhering to international and national standards. Additionally, Qiu Dagen emphasized that Hong Kong's stablecoins should not compete with existing products, but instead explore new markets. (Daily Economic News)