The Development Path and Profit Opportunities of Compliance Stablecoins

With the successful listing of leading companies in the Compliance stablecoin sector, this field has garnered widespread attention domestically. Various seminars and learning activities related to stablecoins have emerged, and industry insiders and community members have engaged in heated discussions. However, behind this bustling scene, we can't help but ask: Who are the real beneficiaries at this moment?

In fact, the development of stablecoins can be divided into three stages, each with different participants who can profit from it.

The first stage is to apply for a license. Currently, many companies are seeking relevant licenses in Hong Kong. However, the requirements of the Hong Kong regulatory authorities are very strict, which poses challenges for many companies. In this stage, law firms become the first beneficiaries. They provide legal consultation for companies applying for licenses, assist in preparing materials, and communicate with regulatory authorities.

The second stage is technical construction. Many companies are building their technical systems while applying for licenses, so they can quickly launch their stablecoin products after obtaining the licenses. The construction of the stablecoin payment system involves multiple aspects, including Compliance services, asset management, token issuance, liquidity management, and security services. Due to the lack of blockchain development experience and talent in traditional Web2 companies, they need to collaborate with Web3 technology service companies. Therefore, in this stage, cryptocurrency technology service providers begin to generate revenue.

The third phase is channel promotion. Once the first two phases are completed, the company can begin actual business operations. Although most companies are still in the first two phases, once they enter the third phase, the market will face intense competition. For stablecoins, liquidity is crucial. Various stablecoins need to find suitable application scenarios to expand their usage scale. In this phase, various channels will become the biggest beneficiaries, including exchanges, e-commerce platforms, and cross-border trade companies.

After going through these three stages, only the stablecoins that stand out can truly become profitable. Referring to the development history of other industries in the country, such as ride-hailing, bike-sharing, and food delivery, there often ends up being a dominant player. This leader captures the majority of the market share through network effects, and after the intense competition and subsidy phase ends, it achieves profitability by adjusting its strategy.

For ordinary users, arbitrage opportunities may arise as new stablecoin forces compete for market and liquidity through subsidies.

Overall, the development prospects in the stablecoin field are broad, and all participants have the opportunity to gain profits at different stages. The key is to accurately grasp the market trends and seize the opportunities that belong to you.