The recent regulatory actions on stablecoins across Mainland China, Hong Kong, and Taiwan have turned the entire market upside down. Many people’s first reaction to the news is panic, but if you calmly break down these policies, you'll find the story isn’t that simple.

**The logic on the mainland is very clear:** Thirteen departments jointly issued a statement, directly defining stablecoin-related activities as illegal financial operations. Issuance, trading, payments—the entire industry chain is under strict scrutiny. In the first ten months of this year, 342 related cases were cracked, intercepting 4.6 billion in fund flows. What's behind this? The scale of digital RMB cross-border payments has already exceeded 10 trillion this year; the authorities want to clear the field for their own system, so the gray areas must naturally be cleaned up.

**Hong Kong’s approach is more interesting:** They’re not trying to drive USDT out of the market, but instead have set a threshold. The new regulation requires platforms to pay a HKD 25 million security deposit and maintain 100% high-liquidity reserves, with the whole process being real-name and traceable. Retail investors are indeed blocked, but professional investors can still participate. In essence, this is about filtering players, not banning the game.

**The market’s reaction is even more intriguing:** USDT’s price did fluctuate, but ETH suddenly surged, and BTC’s position structure was actually optimized. Funds didn’t flee the market; instead, they flowed frantically from stablecoins into mainstream crypto assets. Does this look like panic selling? It’s clearly a signal of rotation.

Here’s a sober assessment: Regulatory tightening has never been the real negative; panic is. Policy squeezes out gray funds, which is precisely the prelude for mainstream capital to enter. Every major compliance push is accompanied by a restructuring of the market—bad assets are eliminated, quality assets are revalued.

Bitcoin won’t disappear because of policy; it will only become more resilient with each round of cleansing. The question now isn’t whether the market will cool down, but whether you can understand the essence of this wave of capital reshuffling.

Can BTC break $100,000? The market is already voting with real money. At this stage, waiting on the sidelines might be more expensive than buying the dip.