Hong Kong Financial Secretary: May indirectly participate in regulating stablecoins, comprehensive auditing and accounting guidelines expected to be introduced within 1-3 years

ChainCatcher news, Sun Deji, the chairman of the Hong Kong Institute of Accountants and Financial Reporting, stated in a recent interview that according to the "Stablecoin Ordinance" effective August 1 in Hong Kong, stablecoin licensees are required to undergo independent audits annually to ensure transparency and compliance. It is expected that Hong Kong will only introduce comprehensive stablecoin auditing and accounting guidelines in 1 to 3 years.

Sun Deji also revealed that the Hong Kong Financial Reporting Council may indirectly participate in the regulation of stablecoins, and the prudent regulatory strategy for stablecoins is expected to be similar to the licensing of virtual banks (now known as digital banks) in the past, clarifying how to audit licensed institutions and how to recognize, measure, and disclose in financial statements.