On August 1, 2025, Hong Kong officially implemented the highly anticipated stablecoin regulations, a move that industry insiders have hailed as an important milestone in the regulation of Crypto Assets. However, the strict real-name registration requirements and high entry barriers in the new regulations have also sparked widespread controversy in the Web3 industry.

This regulation, considered one of the strictest stablecoin regulations in the world, centers around mandatory 'Know Your Customer' (KYC) procedures and exclusive market access mechanisms. While this strict regulatory approach aims to enhance market transparency and security, it may also hinder innovation and limit the development of small businesses.

In sharp contrast, the U.S. Securities and Exchange Commission (SEC) recently launched a new initiative called 'Project Crypto.' This initiative proposes a more flexible regulatory approach, emphasizing that innovation should not be overly restricted, but rather, regulatory exemptions should be provided for eligible Crypto Assets projects. This approach is seen as an innovation-friendly regulatory attempt, aimed at seeking a balance between protecting investor interests and promoting industry development.

The two vastly different regulatory directions of Hong Kong and the United States reflect the complexity and diversity of the global Crypto Assets regulatory landscape. The strict regulatory approach taken by Hong Kong may enhance the stability and credibility of its financial center, but it also risks losing innovative momentum. In contrast, the actions of the SEC in the United States may attract more innovative projects, but it also requires finding a balance between relaxed regulation and market risks.

The differences in this regulatory approach will undoubtedly have a profound impact on the global Crypto Assets ecosystem. Project parties and investors may adjust their strategic layout based on the regulatory environment in different regions. At the same time, other countries and regions will closely follow the implementation effects and market responses of these two models when formulating their own Crypto Assets policies.

As the Crypto Assets industry continues to evolve, the challenges faced by regulators are also increasing. Finding a balance between protecting investors, maintaining financial stability, and encouraging innovation will be an ongoing topic for regulators in various countries to explore. The different approaches taken by Hong Kong and the United States provide valuable case studies for us, and their long-term impacts deserve continuous follow-up and assessment by the industry.