The Chief Executive Officer of the Securities and Futures Commission of Hong Kong, Leung Fung-yee, attended the Greenwich Economic Forum this week and stated that Bitcoin has clearly demonstrated its resilience as an alternative asset. Leung pointed out that while most central bankers and economists may believe that virtual assets like Bitcoin and Ether have no intrinsic value, she does not necessarily disagree with that view. However, she emphasized that over the past 15 years, Bitcoin has shown its resilience as an alternative asset.
Nevertheless, Leung also emphasized in her speech that the regulatory support for Hong Kong’s Web3 ecosystem should not be seen as an endorsement of the virtual asset class. She added that the Securities and Futures Commission of Hong Kong is also working to regulate stablecoins. Leung revealed that the Commission is preparing a new system to regulate stablecoins pegged to fiat currencies. Recently, the Hong Kong Monetary Authority has completed a consultation on the proposed system, including requirements for stablecoin issuers to ensure full backing by high-quality and highly liquid reserve assets.
