Media365
HSBC and a consortium led by Standard Chartered have been awarded Hong Kong’s first stablecoin issuer licences, marking the city’s latest step towards embracing cryptocurrency’s most-traded cash substitute in its bid to become a global digital asset hub.
“The two applicants have experience in traditional financial and risk management, which fits the mission of stablecoins that aim to bridge traditional finance and digital finance,” said Hong Kong Monetary Authority (HKMA) deputy chief executive Darryl Chan.
Initially, the two firms will only issue Hong Kong dollar-pegged stablecoins for domestic and cross border payments and digital assets trading. The two licensees were expected to launch the stablecoins in the second half of this year, Chan said.
The announcement came later than initially expected, with industry players attributing that to a slower-than-expected review process.
