Xu Zhengyu: The "OTC institution" of virtual assets currently does not belong to the "approval provider" under the "Stable Coin Ordinance"

According to BlockBeats, on September 10, Hong Kong's Secretary for Financial Affairs and Treasury, Hsu Chung-woo, gave a written reply to the regulatory issues of the Stablecoin Ordinance at the Legislative Council meeting. Xu Zhengyu said that virtual asset over-the-counter trading institutions are not currently "approved providers" under the Stable Coin Ordinance and are looking for a store change, so they cannot offer specified stablecoins to retail or professional investors. In response to non-licensed providers' behavior that may evade the regulation of the Ordinance, the Hong Kong Monetary Authority will encourage the industry to comply with relevant requirements through strengthening publicity and monitor the situation involving stablecoin transactions on the market. Xu Zhengyu emphasized that the HKMA has not issued a license to any stablecoin issuer at present, and the public must bear the risk of purchasing stablecoins from non-regulated channels. Regarding the licensing system for digital asset trading and custody service providers, Xu Zhengyu revealed that the Finance and Treasury Bureau and the China Securities Regulatory Commission had just completed public consultation between June 27 and August 29, and are referring to the consultative opinions to formulate the details of the licensing system and will announce the legislative timetable in a timely manner.