PANews reported on July 24 that according to Cointelegraph , Hong Kong will begin to implement the Stablecoin Ordinance on August 1, 2025 , prohibiting the provision or promotion of unlicensed fiat-backed stablecoins ( FRS ) to retail investors. Violators may be fined up to HK$ 50,000 and imprisoned for six months. The Hong Kong Monetary Authority ( HKMA ) issued a warning on Wednesday, reminding investors to stay away from unlicensed stablecoins to avoid accidentally falling into the law. HKMA President Yu Weiwen said that the new regulations are aimed at bringing credibility and stability to the stablecoin industry while protecting investors from fraud and excessive speculation. Although there are currently as many as 50 companies applying for stablecoin licenses, most applications lack practical implementation plans and only a few licenses will be approved.