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.
Both licensees will issue stablecoins that will be pegged to the Hong Kong dollar, and can conduct cross border payments later.
According to the licensees’ business plans, they intend to complete the necessary preparation work and launch business in the coming few months.
