Cryptocurrency

Stablecoins have already gained legal status in the United States and Hong Kong. This allows for more efficient capital flows globally, and gray areas are bound to exist if not regulated – similar to how the US manages opioid addiction. Stablecoins are crypto assets pegged to fiat currencies (such as the US dollar or Hong Kong dollar) or precious metals, designed to maintain their value stability. They are primarily divided into three categories: fiat-backed (such as USDT, USDC), commodity-backed (like stablecoins backed by gold reserves), and algorithmic (which do not rely on physical reserves but instead use algorithms to maintain their peg)([zh.