HK Chamber Of Commerce Favour Yuan-Backed Stablecoin
The HKGCC proposed issuing a stablecoin backed by the Chinese yuan as part of the local government’s upcoming budget address.
The HKGCC argues that the issuance of yuan-backed stablecoins would promote the broader adoption of the RMB and facilitate international trade transactions.
The HKGCC also suggests that Hong Kong could offer a potential tailwind for East Asia as crypto volumes plummeted due to anti-crypto regulations in China.
The HKGCC also suggests exploring the creation of a “Virtual Asset Connect Scheme” with a daily limit of approximately HK$20 billion, which is $2.5 billion.
The Hong Kong government’s growing status as a crypto hub has also raised speculation about the Chinese government’s reversal of course on digital assets or increased openness to crypto initiatives.
(With inputs from Shikha Singh)
You need to login in order to Like