Lates News

According to information obtained from industry insiders by reporters, stablecoin licenses in Hong Kong are relatively rare and in high demand. It is estimated that there will only be single-digit licenses available, but currently, more than 40 companies including JD, Standard Chartered, and Circle are preparing to submit applications. Feedback from law firms indicates that there are dozens of other companies interested in applying, with many currently in the consultation or preparation stage. The competition is fierce, with most applying institutions being China's largest financial institutions and internet companies, while smaller companies hoping to apply have slim chances. Against this backdrop, expectations for stablecoins to rebuild the global monetary system are rising. Vice President and Secretary General Qiao Yide of the Shanghai Development Research Foundation told First Financial Reporter that the efficiency of cross-border payments that stablecoins can improve may not be as high as expected, with research indicating actual costs could be close to 1% rather than the advertised very low levels. At the same time, stablecoins, anchored to sovereign currencies, essentially extending and diffusing the functions of fiat currencies, cannot overturn the system upon which they depend for survival. Despite the current market frenzy and major institutions rushing in, even suggesting that stablecoins will rebuild and disrupt the international monetary system, industry insiders believe that this is an exaggeration of stablecoins' impact. (First Financial News)