HSBC, Standard Chartered set to receive Hong Kong stablecoin licenses: report

HSBC and Standard Chartered are poised to become among the first recipients of stablecoin licenses in Hong Kong, signaling a pivotal development in the city's quest to establish a fully regulated digital asset marketplace. This initiative, governed by the Hong Kong Monetary Authority's (HKMA) new stablecoin regulatory framework, showcases Hong Kong's ambition to evolve into a central node for digital assets, balancing innovation with stringent oversight. The anticipated licenses will enable the banking giants to issue stablecoins in compliance with the groundbreaking Stablecoin Ordinance, effective since 2025. The ordinance mandates regulatory approval for issuers of fiat-pegged digital currencies. Following a rigorous evaluation of numerous applicants, only a select few are expected to receive approval in the initial phase, underscoring the HKMA's commitment to ensuring a safe and controlled financial landscape amidst the drive for digital-asset leadership.