TechFlow, July 20 — According to the Hong Kong Economic Times, Henry Huong, Chairman of the Financial Services Development Council, stated that stablecoins should not be speculative instruments but should serve their intended stabilizing function. On the eve of the Hong Kong Stablecoin Ordinance coming into effect on August 1, dozens of companies have already expressed interest in applying for or participating in stablecoin-related businesses.
Huong emphasized that the digitization of asset markets is a long-term endeavor, and stablecoins are a crucial component of Hong Kong's financial market digitalization. He noted that Hong Kong is at the forefront of financial center digital transformation and expects more diverse assets to become tokenized in the future, although this process will take time.
He also stressed that amid uncertain global trade prospects, Hong Kong should position itself as a treasury hub serving the Global South, helping businesses and investors diversify supply chain and investment risks, while maintaining its status as a capital market, wealth management, and RMB risk management center.
