The Hong Kong Monetary Authority (HKMA) announced that the "Stablecoin Ordinance" will officially take effect on August 1, marking a new phase in Hong Kong's stablecoin regulation. To ensure a smooth transition, the HKMA has provided a 6-month transitional arrangement for entities that have been conducting stablecoin business in Hong Kong.

The Monetary Authority also published a series of important documents, including the "Guidelines for Regulating Licensed Stablecoin Issuers" and its consultation summary, the "Guidelines for Combating Money Laundering and Terrorist Financing" (targeted at licensed stablecoin issuers) and its consultation summary, the "Summary of the Licensing System for Stablecoin Issuers," and the "Summary of Transitional Provisions for Existing Stablecoin Issuers." These documents aim to provide comprehensive guidance for market participants.

It is noteworthy that the Monetary Authority specifically urges institutions intending to apply for a license to contact the regulatory authorities before August 31. This initiative reflects the regulatory body's proactive communication and its attitude towards promoting industry compliance.

With the implementation of the new system, the Hong Kong stablecoin market will usher in a more regulated and transparent development environment. The Monetary Authority emphasizes that, starting from August 1, all market participants must strictly comply with the "Stablecoin Ordinance" and related guidelines.

This move not only benefits the protection of investors' rights but also further consolidates Hong Kong's status as an international financial center, especially in the competitiveness of the digital asset sector. Industry insiders generally believe that the establishment of this regulatory framework will bring more opportunities to the stablecoin market while also imposing higher compliance requirements on issuers.