Hong Kong Institute of International Finance President Song Min: 'System first' will help Hong Kong explore the development path of stablecoins, and anchor the 'main battlefield' of the real economy such as cross-border trade

According to Foresight News, Song Min, President of the Hong Kong Institute of International Finance and Dean of the China Central Development Research Institute at Wuhan University, stated that the emergence of stablecoins is an inevitable result driven by technology, but technology cannot replace regulation. China should cherish the opportunity to establish a regulatory framework and adopt a path of "system first, scenario implementation, and step-by-step promotion". Hong Kong stablecoins will serve areas such as cross-border trade settlement and RWA asset on chain, supporting the real economy. Hong Kong plays an irreplaceable strategic role in the internationalization of the Renminbi, with the biggest breakthrough in cross-border trade settlement requiring the launch of more Renminbi denominated financial products.