Following the lift of Hong Kong’s crypto trading restrictions for individual investors on June 1st, investors have turned their attention to upcoming announcements and the next steps to be taken. Indeed, Hong Kong Financial Services and Treasury Secretary Xu Zhengyu made important statements on June 5th regarding the latest developments and measures taken in the fintech and other innovative financial services sectors in Hong Kong. The main highlight of Zhengyu’s remarks concerns stablecoins.
Task Force for Web3 and Stablecoin Regulations
According to Gwei Research, formerly known as 8BTCnews, Secretary Xu Zhengyu recently made significant announcements closely related to the world of cryptocurrency. Zhengyu stated that a task force will be established under the supervision of Hong Kong’s Financial Secretary Paul Chan, to provide recommendations on how to ensure sustainable and responsible development of the Web3 industry. This statement has led to interpretations that Hong Kong attaches great importance to Web3 and that breakthroughs in this area will continue to grow exponentially.
Zhengyu also reported that the Hong Kong Monetary Authority is working on the regulation of stablecoins, and a second public consultation round is planned for this year.
Web3 Article Penned by Financial Secretary Chan
In April, Hong Kong’s Financial Secretary Chan published an article stating they will adopt a strategy to promote suitable regulation and development for Web3, highlighting key points.
Stating that the time is ripe for pushing forward Web3, Chan had pointed out that Hong Kong is seeking new ways for economic development and striving to capture new advantages. The Financial Secretary also added that the world is competing for Web3 innovation based on manageable risks.
Chan mentioned in the article that he proposed three suggestions to encourage Hong Kong’s development, added that their applications towards Web3 have great potential for growth and received positive feedback from the community.
