The Hong Kong Financial Services Authority and the Hong Kong Monetary Authority jointly issued a consultation summary on legislative proposals to implement a regulatory regime for fiat stablecoin issuers in Hong Kong. It was mentioned that, considering that the area of stablecoins is still in its infancy, a significant majority of respondents agreed to introduce new legislation to implement a regulatory regime for fiat stablecoin issuers, as well as the proposal to exclude fiat stablecoin issuance from the regulatory regime for securities and stored value facilities. The HKMA will continue to work with other regulators to build a consistent regulatory framework for virtual assets in Hong Kong to avoid regulatory arbitrage. The majority of respondents supported the requirement that the total value of fiat stablecoin reserve assets be maintained at full reserve at all times, and agreed that this is a core element to support a stablecoin stability mechanism.