URGENT NEWS: HKMA Mandates 100% Liquidity Reserves for Stablecoin Issuers
New York, NY – December 12, 2025 – 03:25 AM EST
Further details of Hong Kong’s new, robust stablecoin regulatory framework reveal an extremely rigorous standard designed for maximum consumer protection and financial stability. #Uniswap’s
The Hong Kong Monetary Authority ($HKMA$) is mandating that all licensed stablecoin issuers must maintain $100\%$ liquid reserves.
This requirement is exceptionally strict, ensuring that every stablecoin in circulation is fully backed by highly liquid assets that can be redeemed instantly.
This $100\%$ reserve requirement is a direct measure to prevent the type of systemic risk and catastrophic failure seen in previous stablecoin collapses.
By ensuring complete backing, the HKMA aims to guarantee the coin’s stability and maintain consumer confidence in the peg, whether to the $USD$, $HKD$, or $RMB$.
This strict reserve rule is a core component of Hong Kong's strategy to foster a safe environment for digital asset adoption. It sets a new benchmark for global stablecoin regulation, emphasizing that transparency, full backing, and liquidity are non-negotiable prerequisites for operating within its jurisdiction.
#StablecoinReserves #HKMARules #CryptoLiquidity #FinancialStability
