Layer 1 blockchain Flare and decentralized cloud firm Red Date Technology are conducting two trials in Hong Kong, enabling mainland Chinese visitors to purchase stablecoins through a regulated app. The trials leverage the China Real-Name Decentralized Identifier System (RealDID), allowing users to register anonymously while complying with Chinese real-name registration laws. This initiative will give these residents their first chance to legally hold public chain wallets and transact with HKDA, a fiat-referenced stablecoin issued by IDA. Despite China’s stringent regulations against cryptocurrency transactions, the trials aim to explore the harmonization of blockchain technology with China's digital currency ambitions. The approach signals potential shifts in policy regarding blockchain use, focusing on legal access to tokenized financial products without the need for traditional identification like passports or bank statements.

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