Layer-1 blockchain Flare and decentralized cloud infrastructure company Red Date Technology have announced trials that will enable Chinese residents to buy stablecoins issued by virtual asset company IDA in Hong Kong.

These trials will provide a way for anonymous registration on a regulated stablecoin app and facilitate the purchase of tokenized financial products using the stablecoin.

"With Hong Kong announcing new stablecoin regulations, this trial offers Mainland Chinese residents their first chance to legally hold public chain wallets and transact with stablecoins like HKDA, a fiat-referenced Hong Kong Dollar stablecoin issued by IDA. This project marks a potential step toward integrating blockchain technology into China's long-term strategy," the companies stated.

China maintains strict control over cryptocurrencies but has heavily invested in blockchain technology. The current trial leverages the China Real-Name Decentralized Identifier System (RealDID) for anonymity in registration while complying with the real-name requirement mandated by Chinese law, allowing Hong Kong users to access stablecoins and token-based financial products without submitting personal identification documents. Notably, major stablecoins such as Tether and Circle's U.S. dollar stablecoins might not be part of this initiative.