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Hong Kong compliance stablecoins may outperform USDT and USDC in specific scenarios.
[Crypto World] On August 9th (UTC+8), Hong Kong's senior compliance lawyer Wu Wenqian stated that in the foreseeable future, Hong Kong's stablecoins are unlikely to directly compete with USDT and USDC. The potential advantage of local stablecoins lies in compliance scenarios, which may be limited to the use of licensed, HKD-denominated stablecoins, creating a market ecosystem that is relatively independent of existing mainstream stablecoins. In scenarios involving cooperation with the Hong Kong Stock Exchange, securitized transactions, and other areas requiring strict KYC and identification, USDT/USDC may face restrictions, while compliant stablecoins can enter these fields with regulatory approval. Traditional crypto world users are still most familiar with USDT and USDC, and the development of local stablecoins in Hong Kong depends on whether suitable application scenarios can be found within the Regulatory Sandbox and pilot programs.