HKMA seeks views on stablecoins

The Hong Kong Monetary Authority has initiated a public consultation process regarding stablecoins and intends to establish a regulatory framework by the end of next year, according to Undersecretary for Financial Services and the Treasury Joseph Chan Ho-lim.

The number of fintech companies has increased dramatically over the past five years, Chan said yesterday, and Hong Kong will continue to expand its faster payment system to more industries.

Moreover, he added, the HKMA is working with the Bank of Thailand to develop the system.

Chan also mentioned that the Hong Kong administration is focusing on the development of Web 3.0, and he thinks this could develop steadily in the SAR while also protecting investors and helping counter money laundering.

Meanwhile, Deputy Financial Secretary Michael Wong Wai-lun said Hong Kong's green and sustainable finance market is experiencing significant growth. That includes green and sustainable debt instruments witnessing a year-on-year increase of over 40 percent in 2022.

Wong added that the administration will accelerate the development of Hong Kong as an international green technology and financial center by cooperating with financial regulators and the sector in climate information disclosure and carbon market training.