Hong Kong Finalizes Stablecoin Regulations, Launches Public Registry

The Hong Kong Monetary Authority (HKMA) has officially finalized its regulatory framework for stablecoin issuers, with new rules set to take effect on August 1, 2025. The move marks a significant step in the city’s ongoing effort to establish a regulated, transparent crypto ecosystem.

“As of today, no license has been issued,” the HKMA warned, urging the public to be cautious of scams and unverified claims about regulatory approval.

New Guidelines Aim to Rein in Hype and Risks

On Tuesday, the HKMA published two sets of guidelines addressing:

• Supervision of licensed stablecoin issuers, and
• Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) compliance for those entities.

As part of the rollout, a public registry of licensed issuers will be made available on the HKMA website. This is intended to help investors verify legitimacy and avoid fraudulent schemes.

“Members of the public who hold unlicensed stablecoins do so at their own risk,” the regulator emphasized.

HKMA Warns Against Premature Hype

HKMA Chief Executive Eddie Yue spoke out about a growing market frenzy surrounding stablecoins, noting that unjustified trading volumes and stock surges have been fueled by premature speculation. Yue also pointed out that many early applicants for stablecoin licenses lack the technical or operational capacity to meet regulatory standards.

“Only a few licenses will be granted initially,” Yue stated, adding that vague proposals and unrealistic implementations were common in the initial batch of submissions.

Application Deadlines Set

Entities interested in applying for a license must contact the HKMA by August 1 and submit complete applications by September 30 to be considered in the first wave of approvals.

This measured approach reflects the HKMA’s intention to limit systemic risk and ensure only credible projects operate under the new framework.

Crackdown on Scams Expands Beyond Hong Kong

Meanwhile, authorities in Shenzhen have issued their own public warning against rising stablecoin-related scams. A local government task force said that unlicensed entities were using misleading advertisements to lure investors, especially those unfamiliar with crypto.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.