Breaking news: The Hong Kong Monetary Authority has announced that starting January 1, 2026, it will fully adopt the new crypto asset regulatory standards from the Basel Committee. This is not just an ordinary policy notice but a structural shift facing the entire crypto industry. Leading assets like Bitcoin, Ethereum, and stablecoins will be incorporated into the formal financial regulatory framework, and the market ecosystem is about to be reshaped.

What is the most immediate impact? Aircoins and pyramid schemes that rely on regulatory loopholes will gradually be phased out. The once "one coin, one villa" wealth-building dream will become much harder. But this is not necessarily a bad thing— the market is undergoing self-purification, and as bubbles burst, truly valuable projects will find clearer growth paths.

Retail investors are indeed in a tough position. The old approach of luck-based, herd-following trading is coming to an end. The new regulations demand higher compliance standards, meaning stricter platform risk controls and more detailed project reviews. But from another perspective, this is also an opportunity for retail investors to evolve.

How to survive? There are three paths:

**First, a mindset shift.** Treat crypto asset investment as a long-term allocation rather than short-term gambling. Research team backgrounds, technological progress, and real user data—these are the key factors determining value.

**Second, select your tracks carefully.** Under regulatory pressure, projects with stable cash flows and solid technology—such as leading stablecoins, mainstream public chains, and DeFi infrastructure—are more resilient. Stay away from concept coins that rely on good storytelling but lack practical applications.

**Third, learn the new rules.** Get ahead of Hong Kong and international regulatory requirements, understand how compliant platforms operate. Exchanges that proactively embrace regulation and obtain official licenses will be the winners in this new cycle.

History always repeats itself. Every regulatory cleansing is a necessary step for the market to evolve from "barbaric growth" to "orderly development." Retail investors are not the ones to be eliminated but a group that needs to evolve. Clear-headed investors and rational decision-makers will gain greater advantages in the new order—because the competitive dimension shifts from information asymmetry to genuine capability.

Regulation is coming, and institutions are preparing. The question is, are you ready?