The head of the HKMA Eddie Yue said that the issuers who have applied for a license must submit a worked out business plan, as well as practical scenarios for the use of produced stabelcoins. The applicants also need to resolve the issue of reserve management.
In addition, the recipient of the HKMA license must have a reserve capital of at least 25 million Hong Kong dollars (about $ 3.1 million). If the applicant is a bank or other financial institution, he may be exempted from the requirement for capital.
When a request for a permit of the regulator, the emitators will have to provide information on how they comply with the rules for combating money laundering (AML) and what safety measures use.
The head of HKMA made it clear that it is not necessary to be a participant in the local “normative sandbox” testing of stablecoins, and those who took part in it do not have to be at all guaranteed the issuance of a license. Yue said that the “first batch” of Stablecoins will be tested in international trade and in Web3 applications.
Now more than 40 applications have been accepted for participation in the state stabiblco-pester. Requests are also coming from large companies JD Coinchain Technology, Yuanbi Innovation Technology, as well as a consortium that includes Ant Group, Standard Chartered and Hong Kong Telecom. Participants have already tested the release of stablecoins and their business models in a controlled environment.
In May, the legislative council of Hong Kong approved the bill on the regulation of stablecoins provided with fiat currency. The law must enter into force on August 1. According to the law, the issuers of stablecoins will have to receive a HKMA license without fail.
Source: Bits
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