Regulators in Hong Kong have identified fiat-referenced stablecoins (FRS) as having the potential to develop into a commonly accepted means of payment. To encourage the safe development of FRS, they have issued a consultation paper on a proposed licencing scheme for FRS issuers.
This flyer summarises the key elements of the proposed regulatory regime, including the definition of stablecoins and the conditions that will apply to FRS issuers once they are licensed.
