The HSBC and the world’s largest bank by total properties, the Industrial and Commercial Bank of China (ICBC), has been reported to have applied for Stablecoin licenses in Hong Kong while the new regulation regulation of the regulation is taking place.
According to In a Monday report in the Hong Kong Economic Journal, both HSBC and ICBC have signed their desire to apply for a Stablecoin License with the Hong Kong Monetary Authority (HKMA). Neither the bank responded to the cointelegraph request for comment by publication.
HKMA has previously said that it is likely to issue only a few stablecoin licenses at first. According to the report, Standard chartered And the ICBC is likely to receive their first cycle licenses, giving them a potential first-mover advantage.
The Hong Kong Economic Journal reported that by the end of August, 77 institutions expressed interest in applying for a Stablecoin license. Some applicants have been reported to have described the requirements as more difficult than expected.
Related: China weighs Yuan supported by Stablecoins in the main policy shift: Reuters
Stringent Requirements for Hong Kong Stablecoin Issuers
On August 1, Hong KongThe new framework of stablecoin regulation has occurred in a Six months of transition period. The new ordinance in stablecoin criminal offering or promotion of unlicensed fiat-referenced stablecoins on retail investors and sets a high entry bar for the providers.
When new policies occur, Stablecoin companies operating in Hong Kong reported losses of double digits. Some companies fell 20% on a single day, but experts in the local market described it as a healthy correction, as the rules were found more difficult than expected.
After setting land policies for the issuance of Stablecoin, Hong Kong regulators have transferred their attention to crypto care. In the mid-flow Introducing security requirements and a prohibition on smart contracts with cold purse implementation.
Related: China has collapsed with Stablecoin, research and seminars promotions
Hong Kong’s new stablecoin regime
The new stablecoin licensing regime has been attracting significant attention since its control. In mid -August, the SFC warned that the introduction of New local stablecoin regulation frameworks increased risk of fraud.
Its statement on the matter suggested that the increased speculation surrounding the stablecoin news increased the risk of fraud. An officer urged investors to be careful and avoid making irrational investment decisions driven by the market hype or price momentum.
Magazine: Hong Kong hoses down Stablecoin Frenzy, Pokémon in Solana: Asia Express
