Standard Chartered Bank Hong Kong, Animoca Brands and Hong Kong Telecommunications (HKT) announced a partnership to create a stablecoin backed by the Hong Kong dollar as part of a new joint venture.
The collaboration will be licensed by the Hong Kong Monetary Authority (HKMA), aiming to leverage Standard Chartered’s experience in issuing stablecoins and the HKMA’s tokenized money initiative. Animoca Brands brings its blockchain expertise, as a unicorn in the industry, while HKT offers its expertise in mobile payment systems.
The joint venture will focus on developing stablecoin applications for domestic and cross-border payments. The move comes as Hong Kong continues to establish itself as a digital asset hub, competing with Singapore in the region. The city has taken steps to approve Bitcoin and Ether exchange-traded funds and implement a strict licensing framework for cryptocurrency exchanges.
The proposed stablecoin initiative aligns with Hong Kong’s ongoing legislative process regarding stablecoins. Hong Kong’s Legislative Council passed the stablecoin bill on December 6, 2024, which underwent its first reading on December 18. Once passed, the law will mandate stablecoin issuers to obtain a HKMA license and comply with reserve and price stability mandates.
Since July 2024, the three have been active in Hong Kong's stablecoin issuing sandbox, a testing ground for new concepts that also includes Jingdong Coinlink Technology and RD InnoTech.
Jingdong Coinlink Technology has announced its intention to launch a stablecoin pegged to the Hong Kong dollar, and RD InnoTech is collaborating with the HashKey exchange to develop its stablecoin offering.
Hong Kong’s regulatory environment has been welcoming to digital asset ventures, with nine platforms licensed by the Securities and Futures Commission (SFC) to date. HashKey was among the first, receiving its license in November 2022, and remains one of two licensed exchanges until the end of 2024, highlighting the region’s progressive stance on cryptocurrency regulation
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