The Hong Kong Monetary Authority (HKMA) will implement a six -month transition period with special policies as part of the new plot for Stablecoins, which is set to take place on Friday.
According to a Wednesday Report Through local news outlet radio television hong kong, HKMA will introduce a six-month transitional arrangement as Stablecoin’s new outline becomes active. Temporary policies also include the issuance of temporary licenses to those who have the ability to comply with regulatory requirements.
However, if a Hong Kong The Stablecoin Issuer failed to comply with new policies in three months, they will need to overthrow their operations within four months. Those who believe that HKMA cannot comply with new policies will be forced to stop operations within a month’s acceptance of their notice, the report said.
HKMA said it would release the first circulation of licenses at an unspecified time, but emphasized that only a limited number would be given at first. It is also noted that it will not reveal the names of the applicants.
Related: Chinese Blockchain Conflux launches Coast Yuan-Back Stablecoin
Hong Kong’s new stablecoin regime
The outline includes strict requirements for Stablecoin Those who gave, including full backing with high quality liquid reserves, redemption processing within a business day and maintaining a physical presence in Hong Kong. Those who give should also have sufficient financial resources.
Additional mandates include identifying your customer procedures, verification of purse ownership, continuous transaction monitoring and blacklist of high-risk wallet addresses.
HKMA will have the authority to investigate the suspected disagreement. Implementation actions may include fines, public warnings, license suspensions or recovery, as well as law enforcement references.
New regulations come in the middle Plans to Criminalize Unclaimed Stablecoin Promotion In the region.
Related: Hong Kong prepares the third batch of tokenized bonds, eyes more offerings
Who is the career for a license?
The interest in the issuance of Stablecoin increased in advance of the outline launch. China’s E-Commerce Behemoth JD.com has been reported registered The entities tied to a potential stablecoin rollout The days have been a few days earlier in Hong Kong Stablecoin regulations that are effective.
The company, often described as Amazon of China, registered two relevant creatures by a subsidiary and also one of Hong Kong’s participants Stablecoin issuer sandbox program.
Similarly, Ant International’s reported plan Apply for Stablecoin Issuer License to the same Hong Kong and Singapore. The Ant Group is part of the Chinese Conglomerate Alibaba Group, owned by the largest digital payment platform worldwide, Alipay, serving more than 80 million merchants and 1.3 billion users worldwide.
In February, standard chartered Bank Hong Kong, Animoca Brands and Hong Kong Telecommunications announced a joint adventure to issue a stablecoin that -back by the Hong Kong dollar.
Magazine: Hong Kong hoses down Stablecoin Frenzy, Pokémon in Solana: Asia Express
