Stablecoins Set to Swirl: Hong Kong’s License Drama and the Dance of Digital Giants

The passage of the outlandishly awaited Stablecoins Ordinance on May 21 has not, regrettably, resulted in street parades, but it does mean that anyone even dreaming of pinning a stablecoin to the festive HK dollar (or any generic fiat) must now supplicate before the mighty HKMA, license application in sweaty hand. No rogue tokens here, thank you very much! From August 1, only the anointed—those with fresh wax seals from regulatory high priests—will be permitted to release fiat-referenced stablecoins within the fragrant harbor of Hong Kong.