Banking giants HSBC and Standard Chartered are expected to be among the first institutions to receive a stablecoin issuer license in Hong Kong, a major step in the city’s efforts to build a regulated digital asset ecosystem.
Conclusion
- HSBC and Standard Chartered are expected to receive Hong Kong’s first stablecoin issuer licenses.
- Approvals will be in line with the HKMA’s new stablecoin regulatory framework introduced in 2025.
- The move is part of Hong Kong’s strategy to become a global hub for digital assets while regulating stablecoin issuance.
Hong Kong is set to grant first stablecoin license to HSBC, Standard Chartered
According to sources at Bloomberg, the approvals, which could come within weeks, will allow banks to issue stablecoins under Hong Kong’s new regulatory regime overseen by the Hong Kong Monetary Authority (HKMA).
Hong Kong introduced its stablecoin licensing framework through the Stablecoin Ordinance, which took effect in 2025 and requires issuers of fiat-referenced stablecoins to obtain regulatory approval. The law is part of a broader move by the city to position itself as a global hub for digital assets and to ensure financial stability and investor protection.
Only a limited number of licenses will be granted in the first round after reviewing dozens of regulatory applications, officials said. Sources said that initially about 36 companies expressed interest in obtaining a stablecoin issuer license.
Standard Chartered has already announced plans to issue a Hong Kong dollar-denominated stablecoin through a joint venture, while HSBC’s potential approval is notable as the bank did not participate in the previous HKMA program used to screen potential issuers.
The move underscores Hong Kong’s attempt to strike a balance between innovation and regulation as traditional financial institutions increasingly explore blockchain-based payment systems.
Stablecoins, cryptocurrencies designed to maintain a stable value by being pegged to fiat currencies or other assets, are widely used in digital asset markets and increasingly considered for cross-border payments and financial settlements.
Hong Kong’s regulatory upgrade comes as competition between global financial centers to attract crypto companies and digital asset investments has intensified.
