CICC: Purchasing tokenized stock assets through stablecoins will cause funds to flow directly into/out of the stock market

Odaily Planet Daily News CICC published an article entitled "Potential Impact of Stablecoins on the Financial System", which pointed out that: from the perspective of money creation, the lending behavior in the decentralized financial system has realized the creation function of "quasi-currency", especially the purchase of tokenized stock assets through stablecoins will cause funds to flow directly into/out of the stock market; from the perspective of market sentiment, the price of cryptocurrencies fluctuates greatly, affecting stock market expectations. Historically, the Nasdaq index and Bitcoin prices have shown a certain correlation; crypto assets and stablecoin-related targets in the stock market, such as crypto asset exchanges and financial institutions, affect stock prices through changes in fundamentals. For the Hong Kong dollar, by regulating the issuance of stablecoins, especially the Hong Kong dollar stablecoin, it will help enhance the influence of the Hong Kong dollar in cross-border payments, crypto assets and other fields, enhance the international competitiveness of Hong Kong's financial industry and the Hong Kong dollar, and consolidate the status of Hong Kong, China, as an international financial center.