In the context of the global regulatory wave: the compliance risks of stablecoins and the way to break through.Author: Lawyer Jie Hui; Source: Mankun Blockchain Law
2025 will be a watershed year for the development of stablecoins, as global regulatory frameworks accelerate implementation and continue to improve, with the once "gray area" now clearly defined within regulatory boundaries. This market, valued at over $250 billion, is undergoing the growing pains and transformation from rampant growth to compliance.
The core definition, classification, and importance of stablecoins.
(1) Core Definition of Stablecoins
Stablecoin is a special type of cryptocurrency, with the core goal of maintaining value stability (as opposed to cryptocurrencies like Bitcoin and Ethereum that seek price growth). It achieves value anchoring by pegging to fiat currency, commodities, or cryptocurrencies, or relying on algorithms, providing a value benchmark for the highly volatile digital asset market.
Stablecoins essentially serve as a "bridge asset" that connects the traditional financial world with the crypto-digital world. It inherits both the advantages of traditional finance and the innovations of the blockchain.
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