TechFlow, August 24 — According to Radio Television Hong Kong, Financial Secretary of Hong Kong's Financial Services and the Treasury Bureau, Hugh Xu, stated that with the enactment of the Stablecoin Ordinance this month, Hong Kong has a clear positioning for stablecoins, which will serve as delivery instruments and an alternative representation of legal tender.
Xu pointed out that using stablecoins for cross-border payments could reduce transaction costs to around 1%, offering a significant advantage over the traditional banking system's 3% cost, thereby helping lower cross-border payment expenses and improving economic efficiency. He also warned the public that stablecoins do not present speculative opportunities and should be approached with caution.
