Hong Kong Web3 Daily Must-Read: Circle Indicates No Plans to Issue HKD Stablecoin

Article source: Hong Kong Web3 media Techub News

Original title: Hong Kong Web3 Daily Must-Read: Circle states no plans to issue HKD stablecoin for now, Ethena Labs founder believes USDe pegging to USDT is reasonable

Compiled by: Nona, Techub News

TinTinLand

Fear & Greed Index: 42 (Neutral)
Bitcoin price: $114,834
BTC/ETH spot ETF fund flows (10.13)
BTC net outflow: $386.87 M
ETH net outflow: $118.39 M

Hong Kong

BTC/ETH spot ETF fund flows (10.13)

BTC net subscription: 1.57 BTC

ETH net subscription: 0 ETH

Hong Kong-listed company Ding Shi Capital plans to use approximately HK$5.3 million from share placement proceeds for virtual asset trading license application

Hong Kong-listed company Ding Shi Capital announced that it has successfully placed 36,546,008 rights issue shares, with total proceeds from the rights issue amounting to approximately HK$60.70 million, and net proceeds of approximately HK$57.60 million. The company intends to use about 9.2% (approximately HK$5.3 million) for potential application for a license condition that allows virtual asset trading.

Hong Kong Legislative Council releases special bulletin "Latest Developments in Hong Kong's FinTech and Digital Assets"

The Hong Kong Legislative Council released a special bulletin titled "Latest Developments in Hong Kong's FinTech and Digital Assets," introducing how Hong Kong has innovated and applied technology in areas such as digital assets, green and sustainable finance, and cross-border finance in recent years, and summarizing relevant discussions in the Legislative Council.

Hong Kong-listed company Daren International considers adding FLOCK token to strategic token reserves

A subsidiary of Hong Kong-listed company Daren International announced the signing of a memorandum of cooperation with FLock Technology Holdings. The two parties will collaborate to develop privacy-preserving AI solutions and consider expanding more strategic cooperation in the future, including but not limited to adding FLOCK token to Daren Group's strategic token reserves.

Circle Asia Pacific Vice President: No plans to issue HKD stablecoin for now, but open to cooperation with HKD stablecoins

Circle Asia Pacific Vice President Chen Qinqi stated in an interview that under the current framework, Hong Kong professional investors are still allowed to use USDC and are not subject to regulation. Circle has no plans to issue locally denominated stablecoins, primarily issuing two stablecoins: USD stablecoin USDC and Euro stablecoin EURC. However, they are open to future cooperation with HKD stablecoins and have held talks with multiple companies, looking forward to the issuance of HKD stablecoins and other stablecoins in Hong Kong.

Hong Kong-listed company Naodong Technology reduces holdings of Robinhood stock worth approximately $1.9 million

Hong Kong-listed company Naodong Technology announced a reduction of 12,700 shares of Robinhood stock, worth approximately $1.9 million.

De Lin Holdings plans to tokenize approximately $40 million of ONE Carmel Class B membership interests

Hong Kong-listed company De Lin Holdings announced that it has subscribed to 15.1% of the Class B membership interests of Carmel Reserve LLC, which owns the U.S. residential project ONE Carmel. The company believes that ONE Carmel meets the requirements for real estate RWA and has potential for future tokenization, supporting its innovative digital finance and blockchain initiatives. It plans to tokenize approximately $40 million (at fair value at the time) of the ONE Carmel Class B membership interests into RWA in the future, aiming to provide shareholders with special dividends in the form of in-kind distributions and facilitate potential on-chain investments in ONE Carmel.

Selected Hong Kong events for October 2025

We have specially compiled a list of noteworthy events in the crypto field in Hong Kong for October, which will open a window to the future of Web3 for you.

Regulation/Macro

Bank of England Governor commits to comprehensive reform to address emerging threats from the private financial sector and challenges from the growing popularity of stablecoins

Bank of England Governor Bailey, speaking at the G20 meeting, committed to comprehensive reforms to make the committee's regulatory system more flexible, enabling faster identification and response to emerging threats from the private financial sector and challenges from the growing popularity of stablecoins.

Foreign Ministry Spokesperson: Firmly opposes U.S. announcement of 100% tariffs on China

According to Beijing Daily, Foreign Ministry Spokesperson Lin Jian presided over a regular press conference. A reporter asked, U.S. President Trump stated that in response to China's export controls on rare earths and related items, the U.S. will impose 100% tariffs on China. What is China's comment on this? Will China impose new tariffs on U.S. imports? Lin Jian responded that the Ministry of Commerce spokesperson has already stated China's position on this. "I want to emphasize that recently, the U.S. has continuously introduced a series of restrictions and sanctions against China, seriously harming China's interests. China firmly opposes this."

Dubai launches financial sector reform plan, listing virtual assets as one of three pillars

Dubai recently launched a comprehensive financial sector reform plan aimed at propelling it into the top three global financial centers. The Dubai Government Media Office stated that under the newly introduced "Dubai Financial Sector Strategy" framework, virtual assets, capital markets, and fintech will become key pillars for Dubai's future economic growth. According to the Dubai government's plan, Dubai will rely on this financial sector reform plan to accelerate the upgrade of its already leading digital asset infrastructure and promote the transition from traditional finance to digital financial services.

Russian Central Bank Deputy Governor: Tokenization is a "feasible option" to allow foreign buyers to purchase domestic company stocks

Russian Central Bank First Deputy Governor Vladimir Chistyukhin was asked about the tokenization of Russian stocks during the Finopolis 2025 forum. Chistyukhin said it is a "feasible option," but overseas participants need to provide solutions at the technical and platform levels. He stated: "In this area, foreign partners will play an important role. I am referring to foreign entities interested in tokenizing Russian assets for buying and selling overseas."

European Banking Authority warns of risks during the transition period of EU crypto regulation MiCA

The European Banking Authority issued a report stating that some entities evading new regulations such as MiCA and its extended anti-money laundering/combating the financing of terrorism legislative framework may continue to affect the integrity of the EU financial system. Among these, "regulatory arbitrage" is a major risk, where companies obtain regulatory approval in countries with lenient approval processes to operate in other parts of the EU.

Project/Company Updates

Crypto.com receives in-principle approval for stored value facilities license from UAE Central Bank

Crypto.com announced that Foris DAX Middle East FZ-LLC (operating under the name Crypto.com) has received in-principle approval for a stored value facilities (SVF) license from the Central Bank of the United Arab Emirates (CBUAE), becoming the first virtual asset service provider in the UAE to receive such approval. Upon obtaining the final license, the company will be able to conduct all financial settlements in UAE dirhams or dirham-pegged stablecoins under the stored value facilities framework, providing digital payment services for UAE residents to pay Dubai government fees. Meanwhile, Dubai government agencies will receive settlement payments in UAE dirhams or dirham-pegged stablecoins.

Legend Trading's Irish subsidiary receives MiCA license from Irish Central Bank

Digital asset financial services company Legend Trading announced that its Irish subsidiary has received a MiCA license from the Irish Central Bank, allowing it to provide cryptocurrency trading and settlement services to 450 million users in 27 EU countries.

OKX Star: USDe should not be considered a 1:1 pegged stablecoin, may consider supporting USDe in the future

OKX CEO Star tweeted, "Ethena Labs has done an excellent job in both portfolio and risk management. OKX has already listed the ENA token and may consider supporting USDe in the future. OKX is also a small angel investor in Ethena. USDe should not be considered a 1:1 pegged stablecoin; it is a tokenized hedge fund. Such funds typically employ relatively low-risk strategies, such as delta-neutral basis trading or money market investments, but they still carry inherent risks, including ADL events, exchange-related events, and custodian security breaches. Simply labeling USDe as a stablecoin or describing recent market movements as depegging is inaccurate. If any exchange decides to include USDe in its collateral framework, it must adopt robust and dynamic risk mitigation controls. Treating USDe as a simple 1:1 stable asset could pose systemic risks to the entire crypto industry in the future."

ZachXBT: Investigation into the identity of the whale who profited from shorting before the October 11 flash crash inconclusive, may involve collaboration with a Chinese whale

On-chain detective ZachXBT responded to the investigation into the identity of the "whale who profited from shorting before the October 11 flash crash," stating, "There are still too many unknowns for me to reach a conclusion I'm willing to publish. All the posts gaining attention now are exaggerated versions of immature theories. What is known is: Garrett Jin/Exe seems to have started collaborating with a Chinese whale, who previously had ten-figure funds on-chain that were dormant until recently activated."

Ethena Labs founder: USDe pegging to USDT is reasonable, minting and redemption functions performed well during market volatility

Ethena Labs founder Guy Young tweeted, "Although DeFi money markets have been criticized for pegging USDe to USDT, I do think it is reasonable to avoid liquidations due to temporary price imbalances. In this event, USDe's minting and redemption functions performed well, with price deviations in multiple Curve, Fluid, and Uniswap liquidity pools (with nine-figure on-demand liquidity) below 30 basis points, consistent with USDC vs. USDT prices on Binance. If oracles could reference the deepest global USDe liquidity pools, no one would be liquidated on any money market."

In-depth & Forward-looking

Full restoration of the USDe depegging incident

Broadening the perspective to the entire ecosystem, it becomes clear that this "depegging storm" was actually a localized event on Binance: on Bybit, USDe briefly dipped to 0.92 before quickly recovering, while the main liquidity pools on-chain like Curve remained almost rock-solid, with price fluctuations of only 0.3%. Other exchanges such as Kraken and OKX were hardly affected.

A cryptocurrency "1011" bloodbath: some stayed up all night, some were wiped out overnight

The cryptocurrency market experienced an unprecedented "Black Friday," with全网爆仓金额 (全网爆仓金额) surging to over $19.1 billion within 24 hours, setting a new historical record. Millions of investors lost everything overnight. Bitcoin plummeted from a high of $119,000, Ethereum crashed by 23%, and altcoins were decimated.

Viewpoint

The most stable leverage creates the most崩盘的局 (崩盘的局) — Trump lit the fire, why is my account paying the price?

Although this crash was ignited by Trump, its disastrous destructive power originated from the high-leverage environment within the crypto market's native financial system. High-yield stablecoin USDe, the recursive "circular borrowing" strategies built around it, and its widespread use as collateral for margin by mature market participants like market makers collectively created a highly concentrated and extremely fragile risk node.

Aftermath of the largest liquidation in crypto history: What was the real cause? Who profited from the chaos?

On October 11, the全网 (全网) experienced the largest liquidation in history, with some altcoins even briefly going to zero. Binance may provide its largest compensation plan in history. As the event gradually subsided the next day, the community began discussions.

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