According to online reports, the Hong Kong government welcomes the Legislative Council's passage of the "Stable Coin Bill" today (May 21) to establish a licensing system for issuers of legal currency stable coin in Hong Kong and improve the regulatory framework for virtual asset activities in Hong Kong. Maintain financial stability while promoting financial innovation. After the implementation of the Stability Coin Ordinance, anyone who issues legal currency stablecoins in Hong Kong in the course of business, or issues legal currency stablecoins in or outside Hong Kong that claim to anchor the value of Hong Kong dollars must apply for a license from the Monetary Authority. Relevant persons must also meet a series of anti-money laundering and terrorist financing, risk management, disclosure requirements, and audit and suitable candidates requirements. The Monetary Authority will conduct further consultation on the detailed regulatory requirements of the system in due course. In addition, the Ordinance only allows designated licensed institutions to sell fiat stable currencies in Hong Kong, and only fiat stable currencies issued by licensed issuers can be sold to retail investors. To prevent fraud, only advertisements about the issuance of licensed fiat currencies and stablecoins will be allowed at any time (including the six-month no-breach period).