Hong Kong’s Legislative Council has officially passed the Stablecoin Bill setting the stage for a regulated digital asset framework aimed at turning the city into a global Web3 powerhouse. Legislative Council member Johnny Ng confirmed the bill’s approval and shared that institutions may apply for stablecoin licenses by year-end through the Hong Kong Monetary Authority.

Stablecoins under the new law must be backed by fiat currency ensuring trust and stability in the market. Ng is inviting global companies to apply and is offering personal assistance to foster collaboration and innovation across Asia. He highlighted the potential of stablecoins in enhancing retail payments cross-border trade and peer-to-peer transactions.

Ng also pushed for yield-bearing stablecoins suggesting that offering interest to holders will boost adoption and competitiveness. These comments align with recent data showing yield-bearing stablecoins have surged to $11 billion in circulation. Meanwhile in the US support for Bitcoin is climbing with nearly 50 million Americans preferring it over gold and strong bipartisan political backing emerging in Congress.

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