Event | Safeheron Invited to Stablecoin Summit to Discuss the Secure Future of Stablecoin
The Hong Kong SAR government is actively promoting a comprehensive digital asset ecosystem through regulatory frameworks, committed to establishing an environment that both fosters innovation and ensures security. The previously issued "Stablecoin Ordinance" provides a clear legal basis for stablecoin issuance and circulation, while the recently launched "Hong Kong Digital Asset Development Policy Declaration 2.0" reaffirms the government’s commitment to establishing Hong Kong as a global innovation center in the digital asset space.
During this period of intensive digital asset policy rollouts, Safeheron was invited to participate in the Stablecoin Summit held in Hong Kong on June 26, 2025, gathering with leading experts from the blockchain and fintech sectors to discuss development trends, regulatory challenges, and technological innovations in the stablecoin ecosystem.
Safeheron’s Head of Hong Kong, Adam Dai, also shared his analysis of the current state of digital asset security and insights into stablecoin ecosystem development during the "The Forces behind Stablecoin Adoption" roundtable discussion.
Current Status and Trends in Digital Asset Security
"Since the beginning of 2025, stolen assets in the crypto industry have exceeded $2.3 billion, including the highly publicized Bybit theft that resulted in losses of approximately $1.5 billion. This marks the sixth consecutive year that crypto asset theft has surpassed the billion-dollar threshold," Adam pointed out. "Despite the substantial total, the decreasing number of attacks per incident indicates that attackers are employing more targeted strategies and sophisticated techniques. Large institutions such as exchanges that custody significant volumes of crypto assets remain the most vulnerable. Wallet private key management systems, social engineering attacks, and hot wallet operational processes have become the primary attack vectors for hackers."
Adam further emphasized the new challenges brought by changes in the regulatory environment: "Since 2024, Hong Kong, the EU, the United States, and other regions have successively required regulated entities to adopt independent custody or multi-signature solutions, and to submit SOC and ISO audit reports. Traditional single private key management or simple hot-cold wallet separation models are no longer sufficient to meet the compliance requirements of large institutions."
Ecosystem Partner Selection and Strategic Recommendations for Stablecoin Projects
When discussing the essential ecosystem partners for stablecoin projects, Adam provided comprehensive and practical advice:
Self-Custody Service Providers: As stablecoins penetrate more deeply into cross-border payments, digital asset settlement, DeFi applications, and other scenarios, the core challenge remains: how to manage private keys and operational permissions securely, compliantly, and efficiently. Self-custody institutions have long provided the security infrastructure for stablecoin operations.
Compliance Legal Advisors: Since 2024, stablecoins are no longer in a ‘gray area’ but are clearly business types that require registration and regulation. Finding legal institutions familiar with the intersection of crypto assets and traditional financial regulation, such as established law firms with crypto currency teams like DLA Piper and Linklaters, is crucial.
Audit and Reserve Disclosure Partners: Currently, users and institutional investors are concerned about the authenticity of stablecoin issuers’ reserve assets. It is recommended to choose one of the Big Four accounting firms, or to integrate with blockchain oracle services such as Chainlink PoR or RedStone to achieve on-chain reserve verification.
Payment and Exchange Partners: Merely issuing stablecoins on-chain without application scenarios is insufficient; a complete application ecosystem must be built, including fiat currency deposit channels, merchant payment systems, payment card integration, and cross-border settlement functions.
Exchanges and Market Makers: If stablecoins are not listed on exchanges or lack deep market-making support, users will find it difficult to be confident in their price stability. It is recommended to simultaneously list on centralized and decentralized exchanges, and to collaborate with liquidity providers to establish initial capital pools and effective arbitrage mechanisms.
Smart Contract Security Audit Teams: Although stablecoin contract structures are relatively simple, there have been multiple instances of excessive minting due to permission management defects in the past. It is recommended to hire at least three professional security teams to audit the code, conduct regular reviews, and establish a security vulnerability bounty program.
Adam concluded: “If you intend to enter the stablecoin field, the primary task is not to pursue rapid user scale expansion, but to assemble an appropriate professional team, select a reliable trust institution, and establish a clear compliance path—planting strong roots before expecting robust growth.”
Looking Ahead
As stablecoins become increasingly important in the global financial system, secure and reliable self-custody solutions will be key infrastructure supporting the healthy development of the stablecoin ecosystem. Safeheron will continue to focus on technological innovation, providing the highest level of security protection for stablecoin users through open-source frameworks and enterprise-level solutions. We look forward to seeing more innovative technologies and application scenarios emerge in the future.
