Hong Kong Awards First Stablecoin Licenses to HSBC and Standard Chartered

Hong Kong's monetary authority has granted its first stablecoin issuer licenses to HSBC and Anchorpoint Financial, a joint venture led by Standard Chartered, eight months after the city's Stablecoin Ordinance took effect. The ordinance represents one of the world's first comprehensive regulatory frameworks for stablecoins, which serve as cryptocurrency's most-traded cash substitute. The licensing marks a significant milestone in Hong Kong's broader strategy to establish itself as a global digital asset hub by embracing cryptocurrency markets while maintaining regulatory oversight. The move signals Hong Kong's attempt to balance financial innovation with traditional banking sector participation in the emerging digital currency ecosystem.

Hong Kong's first stablecoin licenses awarded to major banks

• ▪HSBC received Hong Kong's first stablecoin issuer licence from the Hong Kong Monetary Authority.
• ▪Anchorpoint Financial is a joint venture led by Standard Chartered.
• ▪The Hong Kong Monetary Authority awarded the stablecoin issuer licences eight months after Hong Kong's Stablecoin Ordinance took effect.

HSBC regulatory approval

• ▪HSBC plans to make its Hong Kong dollar stablecoin available inside its PayMe app and HSBC HK Mobile Banking in the second half of 2026.
• ▪The Hongkong and Shanghai Banking Corporation Limited was officially listed as a licensed stablecoin issuer on the Hong Kong Monetary Authority's Register of Licensees.

Note-issuing bank strategy

• ▪HSBC and Standard Chartered are two of only three commercial banks authorized to print physical Hong Kong dollar banknotes.
• ▪The Hong Kong Monetary Authority deliberately prioritized the city's note-issuing banks when granting the inaugural stablecoin licenses.

Hong Kong's regulatory framework and digital asset hub ambitions

• ▪The Hong Kong Monetary Authority selected the first two stablecoin licensees from a pool of 36 applications under the Stablecoins Ordinance.
• ▪Hong Kong's awarding of stablecoin issuer licences marks a step towards embracing cryptocurrency's most-traded cash substitute.
• ▪Hong Kong is pursuing a bid to become a global digital asset hub.
• ▪The Stablecoins Ordinance, which requires any firm issuing stablecoins in Hong Kong to obtain a license, took effect in August 2025.
• ▪The Hong Kong Monetary Authority granted its first two stablecoin issuer licenses to HSBC and Anchorpoint Financial on April 10, 2026.
• ▪Hong Kong's Stablecoin Ordinance is one of the world's first such laws.

Stablecoin market dynamics and regulatory landscape

• ▪Stablecoins are cryptocurrency's most-traded cash substitute.

Identity verification requirements

• ▪The travel rule applies to licensed stablecoin transfers above HK$8,000, which is approximately $1,000.
• ▪Under the Hong Kong Monetary Authority's guidelines, licensed stablecoins can only be transferred to wallets whose owners have been identity-verified.

Anti-money laundering controls

• ▪The Hong Kong Monetary Authority delayed the initial Q1 target to push applicants to refine application details regarding anti-money laundering controls and reserve asset disclosures.
• ▪Hong Kong's stablecoin framework requires issuers to maintain at least HK$25 million in paid-up capital and hold liquid capital equal to 12 months of operating expenses.

Perspective of Hong Kong Monetary Authority

• ▪The Hong Kong Monetary Authority's stablecoin licensing framework demonstrates Hong Kong's commitment to becoming a global digital asset hub.
• ▪The Hong Kong Monetary Authority's licensing of HSBC and Anchorpoint Financial represents a regulatory approach that balances innovation with oversight.

HSBC stablecoin launch plans

• ▪HSBC Hong Kong CEO Maggie Ng stated that the bank's stablecoins will not pay interest but will allow fast settlement.

Perspective of HSBC and Standard Chartered

• ▪Standard Chartered's participation in Anchorpoint Financial reflects traditional banks' strategy to enter the cryptocurrency market through regulated channels.
• ▪Anchorpoint Financial is a joint venture led by Standard Chartered that includes Animoca Brands and Hong Kong Telecommunications.
• ▪Anchorpoint Financial plans to distribute its Hong Kong dollar stablecoin, HKDAP, through selected business partners.
• ▪HSBC's stablecoin issuer licence positions the bank to offer regulated digital currency products to clients.

Future licensing restrictions

• ▪Hong Kong Monetary Authority executive director Daryl Ho stated that the authority is cautious and the number of additional stablecoin licenses will be very limited.
• ▪Hong Kong Monetary Authority deputy chief executive Darryl Chan stated that the two approved applicants have traditional finance and risk management experience.

Chinese tech giants paused plans

• ▪Alibaba-backed Ant Group and e-commerce group JD.com paused their plans to issue stablecoins in Hong Kong.
• ▪The Hong Kong government raised concerns about the rise of stablecoins controlled by the private sector.

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