According to the information you provided, Hong Kong's "Stablecoin Ordinance" is the world's first comprehensive regulatory framework that will officially come into effect on August 1, 2025. 🇭🇰
This ordinance reshapes the industry through three fundamental mechanisms:
1. Licensing Management 📜 Under this mechanism, stablecoin issuers will need to meet the following stringent requirements:
Capital Payment: Issuers must pay a capital of 25 million HKD.
Anti-Money Laundering (AML) Requirements: Full compliance with laws to prevent money laundering is required.
Reserve Custody Requirements: Ensuring the secure and responsible custody of the issuer's reserve assets is mandatory.
2. Reserve Transparency 💰 This ordinance ensures the reliability of stablecoins' value:
100% Asset Backing: The market value of stablecoins must be 100% backed by cash or short-term government bonds. This means that for every stablecoin, there should be equivalent real-world assets.
Real-Time Audit: To maintain transparency in reserves, these assets will be subject to real-time audits.
The world's first comprehensive regulatory framework is in place: On August 1, 2025, Hong Kong's "Stablecoin Ordinance" officially comes into effect, becoming the world's first comprehensive regulatory law for fiat-backed stablecoins. The ordinance reshapes the industry through three fundamental mechanisms. Licensing management: Issuers must pay a capital of 25 million HKD and meet anti-money laundering and reserve custody requirements. Reserve transparency: The market value of stablecoins must be backed by 100% cash or short-term government bonds and is subject to real-time audits. 'Cross-border cooperation': A financial cooperation scheme has been signed with Shanghai to explore the integration of stablecoins with the CIPS system.
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I invested in 🌴 TREE at $6 with the hope to earn 25% but am sustaining loss of 25%. The chart shows its continuous down fall. I am stll hopeful and average it @ $4 to pull down my purchase price to $ 5 and will wait for prfit because I bought in Spot. What you suggest me? Am I right in this market?