Wang Hongying: The reasons for the rise of Hong Kong's stablecoin concept stocks include the improvement of regulatory frameworks and the good development trend of digital assets

According to Beijing Business Daily, Wang Hongying, the director of China (Hong Kong) Financial Derivatives Investment Research Institute, stated that there are two main factors contributing to the sustained rise of stablecoin concept stocks in the Hong Kong stock market recently. One reason is that many overseas markets, including Hong Kong, have introduced regulations related to stablecoins, which have become an important legal basis for ensuring the steady development of the stablecoin market and enabling more institutions to enter the stablecoin market. The second reason is that stablecoins are an innovative data asset in the global digital economy. Based on stable cash flow, stable operations, and the binding of blockchain encryption technology, the entire enterprise asset can be traded and priced globally, which has led to a good development trend in the stablecoin market. Wang Hongying said, "The development of the world economy will face a trend of explosive growth in data assets. Various digital virtual assets represented by stablecoins precisely conform to this trend, making the trading scale of the stablecoin market better developed globally. In this context, securities firms applying for virtual asset related trading licenses can improve the valuation, pricing, and trading of stablecoins and other virtual assets in the context of the development of the digital economy, thereby bringing about an increase in business and scale