Some OTC stores in Hong Kong received flyers stating "The Financial Management Authority reminds you": Buying and selling stablecoins, or engaging in regulated stablecoin activities without the relevant licenses, is illegal.

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According to Techub News, some OTC stores for cryptocurrency in Hong Kong received flyers today printed with "The Financial Management Authority reminds you". It pointed out that the regulations on stablecoins will take effect on August 1. Anyone who trades specified stablecoins (including USDT) without obtaining the relevant license, or engages in regulated activities involving stablecoins, will be breaking the law. Offenders may face a fine of 5 million HKD and 7 years in prison. The letter also stated that no one, regardless of whether they have completed identification registration or are individual professional investors, is allowed to trade stablecoins; virtual money service providers displaying or providing stablecoin quotes to any person in any form will be breaking the law.

Techub News reminds that it is currently uncertain whether the flyer is officially issued by the Hong Kong Monetary Authority, and the full name of the Monetary Authority is not printed on the flyer. As of the time of writing, the Monetary Authority has not released an official statement.

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