Hong Kong’s Stablecoin Bill Awaits Critical Legislative Steps

2 mins mins

Key Points:

Hong Kong’s Stablecoin Bill undergoes legislative process towards third reading.
Current stage awaits the second reading on May 21, 2025.
Bill focuses on licensing and regulation for stablecoin issuers.

Wu Jiezhuang, a member of Hong Kong’s Legislative Council, announced that the Stablecoin Bill’s third reading is awaited, with expectations for completion by year’s end. The development aims to enable global firms to apply for stablecoin issuance through HKMA.

The Bill seeks to establish Hong Kong’s position as a major player in the Web3 domain by regulating stablecoin issuance, offering potential growth in fintech sectors.

Hong Kong’s Strategic Move in the Web3 Arena

The Hong Kong Legislative Council member, Wu Jiezhuang, confirmed the progression of the Stablecoin Bill, emphasizing its significant role in Hong Kong’s Web3 ambitions. Although its third reading remains speculative, the anticipation grows within the crypto community.

The Bill aims to regulate fiat-referenced stablecoin issuers, thereby transforming Hong Kong’s crypto landscape. With expectations set for the third reading completion this year, stakeholders are eager for its advancement.

Samantha Chan, Senior Associate, Freshfields, – “This Bill represents a significant step in creating a stable regulatory environment for the adoption of stablecoins in Hong Kong.” Source

Bitcoin Surges Amid Legislative Developments

Did you know? Hong Kong’s deepening involvement in digital assets could redefine its financial position, similar to Singapore’s earlier push for fintech innovation in the early 2010s.

Bitcoin (BTC) has shown remarkable resilience, with its market cap reaching $2.11 trillion and maintaining a dominance of 62.99%. According to CoinMarketCap, its price increased by 1.20% in the last 24 hours and surged 21.48% over the past month, reflecting steady growth since price tracking on May 21, 2025.

bitcoin-daily-chart-1051 — Bitcoin(BTC), daily chart, screenshot on CoinMarketCap at 08:52 UTC on May 21, 2025. *Source: CoinMarketCap*

Insights from Coincu’s research team suggest the Stablecoin Bill could significantly alter Hong Kong’s regulatory climate, enabling technological shifts and economic growth. Historical trends indicate potential for increased investment and innovation within digital finance in the region.