On December 6, according to the press release of the Hong Kong Special Administrative Region Government, the Stablecoin Bill was gazetted today to introduce a regulatory regime for fiat currency issuers in Hong Kong. The Bill aims to improve the regulatory framework for virtual asset activities to address the latent risks posed by fiat currency stablecoins to financial stability, ensure adequate protection for users, and capitalize on the benefits that virtual assets and their related technologies can bring. Under the proposed licensing system, any person who engages in any of the following activities must first obtain a license from the Monetary Authority: (I) in the course of its business, issuing fiat stablecoins in Hong Kong; (Ii) in the course of business, issue fiat stablecoins purporting to anchor the value of the Hong Kong dollar; or (Iii) actively promote the issuance of its fiat stablecoin to the Hong Kong public. In order to effectively implement the system, the Bill also proposes to grant the Monetary Authority the necessary supervisory, investigative and enforcement powers. The Bill will be introduced into the Legislative Council for first reading on December 18.