Yat Siu, the president of Animoca Brands, said at the BUIDL Asia conference held in Seoul on Thursday that a stablecoin pegged to the Hong Kong dollar could occupy a unique position in the already saturated cryptocurrency market if it is approved for issuance in Hong Kong. The stablecoin in Hong Kong can find a sizable unique demand pool because the Hong Kong dollar is equivalent to the US dollar but is not the US dollar and is outside the US territory.

Yat Siu also said that Hong Kong has been preparing for the issuance of local stablecoins pegged to the Hong Kong dollar and completed public consultations on regulating and licensing stablecoin issuers last month. As the de facto central bank, the Hong Kong Monetary Authority has launched a sandbox to facilitate communication between regulators and stablecoin issuers and comply with upcoming stablecoin regulations.