CZ talks about the highlights of Hong Kong's stablecoin regulatory policy
Original compilation: MarsBit
Original compilation: MarsBit
1. Further positive news from regulators (Hong Kong Monetary Authority, the Hong Kong Monetary Authority), we are very proud to see #Binance's recommendations reflected in their now published stablecoin consultation results. Highlights of their decided approach to stablecoins:
2. Take a risk-based approach to deciding which stablecoins are in scope, with the aim of reducing risk to the monetary and financial system – so start with fiat-backed stablecoins.
3. A clearer scope of regulatory activities, especially governance, issuance, stabilization arrangements and wallets - including access and hosting management.
4. Consider alternatives to local companies to implement regulatory and supervisory requirements, such as mitigation measures, subject to further evaluation. Consideration of an alternative approach to local incorporation for enforcing regulatory and supervisory requirements, such as mitigation measures, subject to further evaluation.
5. We fully support the requirement of 1: 1 support and redemption at face value. BUSD is pegged to the U.S. dollar and is redeemable 1:1. It is issued in partnership with Paxos and approved by NYDFS.
6. We have seen many benefits and usages of stablecoins, such as cross-border payments, hedging against inflation, and even aid payments. Regulation will bring much-needed certainty to issuers, users and service providers and accelerate adoption.
Original link
