Core Insights - The introduction of the US "GENIUS Act" and Hong Kong's "Stablecoin Ordinance" marks a significant step towards the mainstream acceptance of stablecoins in the financial market [1][5]. Regulatory Developments - Recent regulations in the US and Hong Kong are pushing for the compliance of stablecoins, indicating a competitive race for dominance in the future monetary system [2][5]. - The "GENIUS Act" mandates that stablecoin reserves must be backed by high liquidity assets, such as cash and short-term US Treasury securities, at a minimum ratio of 1:1 [5][7]. - Hong Kong's "Stablecoin Ordinance" establishes a licensing system for fiat-backed stablecoin issuers, with notable participants including JD.com and Standard Chartered Bank [5][6]. Market Dynamics - Stablecoin-related stocks have experienced significant volatility, with companies like ZhongAn Online and Circle seeing substantial price increases following regulatory news [3][4]. - The total market capitalization of stablecoins is projected to exceed $230 billion by June 2025, with Tether (USDT) and USD Coin (USDC) accounting for approximately 90% of this market [4][7]. Future Projections - Analysts predict that the total supply of stablecoins could reach $2 trillion by the end of 2028, creating a demand for $1.6 trillion in short-term Treasury securities [7][8]. - The market for Real World Assets (RWA) is expected to grow significantly, potentially reaching $16 trillion by 2030, as stablecoins facilitate the integration of traditional finance with the crypto world [9][10].