Hong Kong is getting ready to issue its first batch of stablecoin issuer licences in Q1 of 2025, accelerating its efforts to place itself as a regional hub for Hong Kong is getting ready to issue its first batch of stablecoin issuer licences in Q1 of 2025, accelerating its efforts to place itself as a regional hub for

Hong Kong to Issue First Stablecoin Licences in Early 2026

3 min read
  • The financial secretary of Hong Kong committed that the starting round of stablecoin licences is anticipated to be allowed in the near future. 
  • Last year, in November, the Hong Kong Monetary Authority rolled out a pilot under Project Ensemble to test actual-value transactions. 

Hong Kong is getting ready to issue its first batch of stablecoin issuer licences in Q1 of 2025, accelerating its efforts to place itself as a regional hub for digital assets at a time of increasing global competition. 

The Financial Secretary of Hong Kong, Paul Chan, spoke at the World Economic Forum in Davos about how the approach of the city towards crypto regulation is responsible and sustainable, as revealed by the South China Morning Post. 

The financial secretary committed that the starting round of stablecoin licences is anticipated to be allowed in the near future. Chan established stablecoins as a segment of a wider push to make a complete digital asset ecosystem in Hong Kong, bridging regulated stablecoin issuance, licensed trading platforms and tokenised financial products. 

He characterised digital finance as a strategic growth pillar as the city looks to maintain its status as a global financial centre. The stablecoin licensing regime passed last year describes strict requirements for fiat-referenced stablecoin issuers. 

These comprise rules on reserve backing, redemption rights, governance, and risk management, showing the focus of regulators on financial stability and consumer protection after volatility in global crypto markets. 

The Other Works By the Country 

The stablecoin plans of the company stand beside a so far active framework for crypto trading platforms. As per the rules imposed by the Securities and Futures Commission, 11 virtual asset trading platforms have got licences to date. 

Approved operators comprise OSL, HashKey and Bullish, as per the public disclosures of the regulator. After trading in stablecoins, Hong Kong is also delving deeper into tokenisation. 

Last year, in November, the Hong Kong Monetary Authority rolled out a pilot under Project Ensemble to test actual-value transactions leveraging tokenised deposits and digital assets, comprising major banks and asset managers. 

Meanwhile, regulators are working on additional proposals that would roll out new licensing regimes for crypto asset dealing, advisory, and management services. At the start of this week, the Hong Kong Securities and Futures Professionals Association alerted that tighter virtual asset management regulations could put off traditional asset managers by increasing compliance costs and decelerating institutional participation. 

Highlighted Crypto News Today: 

Binance has Announced Listing Ripple’s Stablecoin, RLUSD

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