An official in Hong Kong explained why retail investors are not currently allowed to trade in the stablecoin.
Hong Kong Financial Services and Treasury Minister Christian Hui said that the government does not yet have any regulation regarding stablecoins such as Tether (USDT) or USD Coin (USDC) and individual investors cannot trade with them.
Participating in an online meeting, Hui said that since the values of service providers in the cryptocurrency sector are pegged to assets such as the US Dollar and gold, stablecoins widely He said they used it.
However, the official said that some stablecoins have been volatility problem live and crashed He emphasized the negative impact of this on investors.
Hong Kong started licensing cryptocurrency platforms with the application it introduced this summer, and local investors Bitcoin, Ethereum They can make transactions with cryptocurrencies such as.
According to Hui’s statements, the government stablecoins These will not be available to individual investors unless a regulation is adopted for them.
Authorities in Hong Kong froze the assets of crypto platform JPEX a few weeks ago for operating without a license and cracked down on the cryptocurrency industry. They emphasized the importance of monitoring.