Latest news with #EddieYue
Yahoo
5 hours ago
- Business
- Yahoo
Hong Kong Releases Guidance on Strict Rules for Stablecoin Issuers
The Hong Kong Monetary Authority (HKMA) released guidance on Tuesday for stablecoin licensing, outlining strict capital, reserve, governance and technology standards for issuers seeking to operate in the city's regulated digital asset market. The guidance also covered rules on money laundering and transitional measures for issuers of existing stablecoins. Stablecoins are digital assets that are pegged to other assets like fiat currency. HKMA's stablecoin regime is set to take effect on Friday and a bill on rules for the sector was passed in May. Already 40 firms are waiting to apply for a stablecoin license, though the regulator is reportedly expected to approve less than 10 applications initially. HKMA CEO Eddie Yue last week warned companies to not be overly excited about the coming regulatory regime, particularly if their business is not related to stablecoins. The regulator wants to take a cautious approach as outlined in its consultation conclusions on money laundering. Issuers are yet to prove that they can effectively mitigate against money laundering, HKMA said in its paper. Unless a stablecoin issuer that is licensed can prove that it can effectively mitigate money laundering risks, it will need to verify the identity of every stablecoin holder "even if the holder has no customer relationship with the licensee," the HKMA consultation response document said. The document also outlined that supervised virtual asset service providers or a reliable third party can also verify the identity of its stablecoin holders. Hong Kong also has a license regime for crypto companies and started awarding licenses last year. "The HKMA will continue to evaluate the effectiveness and appropriateness of such measures considering, among other things, the evolving regulatory landscape," the regulator said in its Tuesday consultation response. Stablecoin issuers which are fully prepared should apply by the end of September, the HKMA press release said. A realistic timeline to start awarding licenses is early next year, Darryl Chan Wai-man, deputy chief executive of HKMA, told South China Morning Post on Tuesday talking about the region's stablecoins regime. Parts of this article were generated with assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy. Update and Correction (July 29, 18:21 UTC): Adds details throughout from the guidelines and context from South China Morning Post at the bottom. Also corrects the story to say HKMA wants firms that are fully prepared to apply by the end of September, an earlier version said end of August.
Crypto Insight
12 hours ago
- Business
- Crypto Insight
Hong Kong finalizes stablecoin rules, launches public registry
The Hong Kong Monetary Authority (HKMA), the special administrative region's central banking authority, has finalized its regulatory framework for stablecoin issuers, releasing two sets of guidelines that will take effect on Aug. 1. On Tuesday, the HKMA released completed guidelines and consultation conclusions to clarify the upcoming rules. The documents addressed the supervision of licensed stablecoin issuers and Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) rules for licensed stablecoin issuers. Alongside the finalized rules, Hong Kong will launch a public registry of licensed issuers as part of a broader push to bring oversight to the local crypto ecosystem. 'In the future, the public may refer to the register of licensed stablecoin issuers as shown on the HKMA's website,' the regulator said. HKMA says no licenses issued yet 'As of today, no licence has been issued by the HKMA,' the regulator said, warning the public to stay vigilant and wary of people or entities that claim to be regulated or licensed stablecoin issuers in Hong Kong. The HKMA also warned the public of those who claim to be applying for a license. 'Members of the public who hold unlicensed stablecoins are at their own risk,' the HKMA said. On Thursday, HKMA Chief Executive Eddie Yue said stablecoin hype led to unjustified trading volume and stock price surges. He said that it appeared to be necessary to 'rein in the euphoria,' clarifying that many applying for stablecoin licenses fall short of the regulator's standards. Yue said some proposals were vague and lacked realistic implementation. He added that some groups that applied lacked the technical expertise to be stablecoin issuers. Yue said only a few licenses will be issued initially as the new regulatory framework takes effect. He also warned investors to steer clear of unlicensed stablecoin offerings to avoid breaking the upcoming law. The HKMA has encouraged market participants interested in applying for a stablecoin license to approach the regulator by Aug. 1. The central bank said applicants must also submit their full applications by Sept. 30 to be considered in the first batch of licensees. Shenzhen warns against stablecoin scams In other parts of China, stablecoin-related scams are on the rise. On July 7, authorities from Shenzhen warned citizens about illegal schemes disguised as crypto and stablecoin offerings. The city's government task force for illicit financial activity alerted the public to unlicensed entities advertising crypto investments. Officials said these groups mislead investors and use the public's limited stablecoin knowledge to offer illegal investments. Source:
The Wire
2 days ago
- Business
- The Wire
WeBank Technology Services Showcases Shenzhen-Hong Kong Cross-Boundary Data Validation Platform at Data Summit 2025
HONG KONG, July 28, 2025 /PRNewswire/ -- The Hong Kong Monetary Authority (HKMA) hosted its 2025 Data Summit on Monday, drawing more than 800 representatives from the city's various sectors. HKMA Chief Executive Eddie Yue delivered a keynote address, emphasizing the city's commitment to financial infrastructure innovation. During the Data Summit, the Shenzhen-Hong Kong Cross-Boundary Data Validation Platform (DVP), co-operated by WeBank Technology Services, was also introduced as the first cross-boundary data verification service connected to the HKMA' s Commercial Data Interchange (CDI). CDl, a key pillar of the HKMA's "Fintech 2025" strategy, aims at enhancing financial inclusion through secure and efficient data sharing. Cross-boundary data bridge built on blockchain principles Developed under the guidance of the HKMA, Shenzhen Municipal Cyberspace Administration, the Hong Kong and Macao Affairs Office of Shenzhen Municipal People's Government, Shenzhen Municipal Financial Regulatory Bureau, the Authority of Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone of Shenzhen, the Shenzhen Branch of the People's Bank of China, and the Shenzhen Regulatory Bureau of National Financial Regulatory Administration, the DVP positions itself as a next-generation cross-boundary data infrastructure. The platform enables trusted validation of personal and corporate data through hash-based verification — without transferring nor storing any original data files. Powered by immutability and traceability features of blockchain technology, the platform supports data portability in compliance with regulatory requirements from both jurisdictions. The DVP collaborates with authoritative data providers in the Chinese Mainland across various sectors like finance and public services, allowing for verification of documents such as personal and corporate credit reports, bank statements, and enterprise credit information among others. The service is designed to meet growing demands for cross-boundary financial services by residents and enterprises operating between Shenzhen and Hong Kong. CDI-DVP integration to help streamline access for Hong Kong banks CDI, launched under the HKMA's Fintech 2025 blueprint, serves as a foundational financial data infrastructure that lowers the cost and complexity of data exchange between banks and commercial data providers. With the integration of DVP, Hong Kong banks can now — via a compliant, secure and efficient channel — improve risk assessment and the overall user experience of cross-boundary financial services. During the summit, Eddie Yue visited WeBank Technology Services' exhibition booth, where Huiya Yao, Head of Fintech Innovation at WeBank, shared the latest developments of the DVP. To date, the DVP has already served more than 10 business entities and is being used in various scenarios including cross-boundary credit assessment and financing. Early gains from DVP adoption At a panel session focused on cross-boundary data validation, representatives from Fusion Bank and ICBC (Asia) shared early outcomes from leveraging the DVP. Andy Li, Head of Corporate Banking at Fusion Bank, said: "Hong Kong serves as a pivotal gateway connecting the Mainland and international markets, and remains the preferred destination for Mainland enterprises going global. Fusion Bank has been committed to supporting Mainland SMEs in their overseas expansion and has approved over HKD100 million in loans for Hong Kong affiliates of GBA SMEs by leveraging the DVP for cross-boundary verification of credit information. Moving ahead, we will continue to utilize DVP to deliver more convenient financing solutions for Hong Kong affiliates of GBA enterprises, supporting the advancement of financial inclusion in the GBA." ICBC Asia's Co-Head of Data Management Youping Song revealed plans to leverage the DVP as well to verify customers' Central Bank Individual credit reports and other data types, to enhance credit status assessment work for newly arrived Hong Kong residents from the Chinese Mainland, supporting talent schemes such as the "Top Talent Pass Scheme(TTPS)" and "Quality Migrant Admission Scheme (QMAS)". Toward a Greater Bay Area data ecosystem The DVP, officially launched in May 2024, is jointly operated by the China (Qianhai) Internet Exchange (CNIX), Shenzhen Credit Service Co. Ltd and WeBank Technology Services. WeBank provides the overall architecture design and technical support of the platform. Looking ahead, Huiya Yao shared that the DVP aims to integrate more diverse data sources, deepening data connectivity across the Greater Bay Area. About WeBank Technology Services Launched in Hong Kong in June 2024, WeBank Technology Services sets out to leverage WeBank's cutting-edge fintech capabilities and digital finance best practices to deliver a variety of superior digital finance and digital infrastructure solutions to digital banks, financial institutions, government agencies, and industry partners worldwide. (Disclaimer: The above press release comes to you under an arrangement with PRNewswire and PTI takes no editorial responsibility for the same.). PTI PWR This is an auto-published feed from PTI with no editorial input from The Wire.
Korea Herald
2 days ago
- Business
- Korea Herald
WeBank Technology Services Showcases Shenzhen-Hong Kong Cross-Boundary Data Validation Platform at Data Summit 2025
HONG KONG, July 28, 2025 /PRNewswire/ -- The Hong Kong Monetary Authority (HKMA) hosted its 2025 Data Summit on Monday, drawing more than 800 representatives from the city's various sectors. HKMA Chief Executive Eddie Yue delivered a keynote address, emphasizing the city's commitment to financial infrastructure innovation. During the Data Summit, the Shenzhen-Hong Kong Cross-Boundary Data Validation Platform (DVP), co-operated by WeBank Technology Services, was also introduced as the first cross-boundary data verification service connected to the HKMA' s Commercial Data Interchange (CDI). CDl, a key pillar of the HKMA's "Fintech 2025" strategy, aims at enhancing financial inclusion through secure and efficient data sharing. Cross-boundary data bridge built on blockchain principles Developed under the guidance of the HKMA, Shenzhen Municipal Cyberspace Administration, the Hong Kong and Macao Affairs Office of Shenzhen Municipal People's Government, Shenzhen Municipal Financial Regulatory Bureau, the Authority of Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone of Shenzhen, the Shenzhen Branch of the People's Bank of China, and the Shenzhen Regulatory Bureau of National Financial Regulatory Administration, the DVP positions itself as a next-generation cross-boundary data infrastructure. The platform enables trusted validation of personal and corporate data through hash-based verification — without transferring nor storing any original data files. Powered by immutability and traceability features of blockchain technology, the platform supports data portability in compliance with regulatory requirements from both jurisdictions. The DVP collaborates with authoritative data providers in the Chinese Mainland across various sectors like finance and public services, allowing for verification of documents such as personal and corporate credit reports, bank statements, and enterprise credit information among others. The service is designed to meet growing demands for cross-boundary financial services by residents and enterprises operating between Shenzhen and Hong Kong. CDI-DVP integration to help streamline access for Hong Kong banks CDI, launched under the HKMA's Fintech 2025 blueprint, serves as a foundational financial data infrastructure that lowers the cost and complexity of data exchange between banks and commercial data providers. With the integration of DVP, Hong Kong banks can now — via a compliant, secure and efficient channel — improve risk assessment and the overall user experience of cross-boundary financial services. During the summit, Eddie Yue visited WeBank Technology Services' exhibition booth, where Huiya Yao, Head of Fintech Innovation at WeBank, shared the latest developments of the DVP. To date, the DVP has already served more than 10 business entities and is being used in various scenarios including cross-boundary credit assessment and financing. Early gains from DVP adoption At a panel session focused on cross-boundary data validation, representatives from Fusion Bank and ICBC (Asia) shared early outcomes from leveraging the DVP. Andy Li, Head of Corporate Banking at Fusion Bank, said: "Hong Kong serves as a pivotal gateway connecting the Mainland and international markets, and remains the preferred destination for Mainland enterprises going global. Fusion Bank has been committed to supporting Mainland SMEs in their overseas expansion and has approved over HKD100 million in loans for Hong Kong affiliates of GBA SMEs by leveraging the DVP for cross-boundary verification of credit information. Moving ahead, we will continue to utilize DVP to deliver more convenient financing solutions for Hong Kong affiliates of GBA enterprises, supporting the advancement of financial inclusion in the GBA." ICBC Asia's Co-Head of Data Management Youping Song revealed plans to leverage the DVP as well to verify customers' Central Bank Individual credit reports and other data types, to enhance credit status assessment work for newly arrived Hong Kong residents from the Chinese Mainland, supporting talent schemes such as the "Top Talent Pass Scheme(TTPS)" and "Quality Migrant Admission Scheme (QMAS)". Toward a Greater Bay Area data ecosystem The DVP, officially launched in May 2024, is jointly operated by the China (Qianhai) Internet Exchange (CNIX), Shenzhen Credit Service Co. Ltd and WeBank Technology Services. WeBank provides the overall architecture design and technical support of the platform. Looking ahead, Huiya Yao shared that the DVP aims to integrate more diverse data sources, deepening data connectivity across the Greater Bay Area. About WeBank Technology Services Launched in Hong Kong in June 2024, WeBank Technology Services sets out to leverage WeBank's cutting-edge fintech capabilities and digital finance best practices to deliver a variety of superior digital finance and digital infrastructure solutions to digital banks, financial institutions, government agencies, and industry partners worldwide.
South China Morning Post
2 days ago
- Business
- South China Morning Post
HKMA right to warn against market speculation over stablecoins
People once worried whether stablecoins had any applications in Hong Kong. Now, the concern is that investors are getting a tad too enthusiastic. The stablecoin ordinance was passed in May and will take effect on August 1. The Hong Kong Monetary Authority warned not once but twice this month that some investors were already speculating based on vague concepts from some listed companies. It also cautioned against possible scams, money laundering and terrorism funding. Advertisement HKMA chief executive Eddie Yue Wai-man is right to warn against market speculation ahead of time. However, if the coming licensing and regulatory regime functions as it should, there should be proper safeguards in place. A stablecoin is a type of cryptocurrency that is pegged to a specific reserve asset, such as the US or Hong Kong dollar. It is not an investment or speculative instrument, but a method of blockchain-based payment with no room for appreciation. By being highly regulated, it is closer to central bank digital currencies and tokenised deposits by commercial banks, rather than cryptocurrencies such as bitcoin, whose value is determined by market forces. Recently, however, some local listed companies which have only proposed vague ideas about cross-border payment, Web 3.0 development or foreign-exchange trading have seen their share prices surge. Yue said only a few issuers would be approved at the initial stage. Since any cybercoins issued must be fully backed by reserve assets, issuers will have to show adequate financial resources. HKMA's caution is warranted as the city is moving fast to develop virtual-asset trading while many foreign jurisdictions are still at the review stage. The Bank for International Settlements has envisioned a future worldwide blockchain infrastructure to harmonise money and assets. Stablecoins' global trading volume reached US$27.6 trillion last year, according to a report by cryptocurrency exchange operator surpassing the combined volume of Visa and Mastercard transactions during the same period. That is clearly the future of money. Hong Kong is ahead of the game and is reinforcing its position as an international financial hub. Advertisement
