Hong Kong Stablecoin Licensing: An Entry Ceremony for "Old Money," a Mid-Break for Web3 Players

Introduction

On April 10, 2026, the Hong Kong Monetary Authority (HKMA) finally announced the results.

The moment the list of the first batch of licensed stablecoin issuers was released, the reaction across the entire Web3 community was surprisingly unanimous—"That's it?"

HSBC, and Anchor Point Finance (a joint venture between Standard Chartered, HKT, and Animoca Brands). Two traditional note-issuing banks, no tech companies, no exchanges, no native Web3 players.

Some interpreted it as "bearish news," while others declared "Hong Kong's stablecoin narrative is over." But if you truly understand the logic behind this licensing round, you'll realize: This is not the endgame, but the opening act of a meticulously scripted "infrastructure-first" playbook.

I. 36 Applications: The Abrupt End of a Cross-Border Carnival

Rewind half a year. In September 2024, when the HKMA closed the application window, 36 submissions came from six entirely different sectors: banks, tech giants, payment platforms, securities and asset managers, e-commerce enterprises, and native Web3 companies.

JD.com's JD Coin Chain made a high-profile entry, planning to peg to the Hong Kong Dollar or US Dollar, with testing scenarios directly targeting its e-commerce ecosystem; Ant Group advanced on two fronts, with both its international and digital technology entities expressing interest simultaneously; RD Technologies, Xiaomi, Bank of East Asia... the list spanned consumer payments, Web3 infrastructure, and traditional banking.

At that time, market expectations were widespread: Hong Kong would follow a "traditional finance + tech giants + Web3 new forces" integration path, leaving a door open for innovators, much like the virtual banking licensing round years ago.

But the results on April 10th temporarily closed that door.

II. Why the "Old Money"? Understanding the Three Implicit Rules

HKMA Chief Executive Eddie Yue stated in February this year: "The first batch of licenses will definitely be limited, with prudence as the goal."

He delivered on his word. But behind this "prudence" lies a more sophisticated selection logic than the surface rules suggest:

Rule One: Priority for Note-Issuing Banks

This naturally created an expectation of exclusivity. If HSBC didn't apply, the future digital Hong Kong Dollar track might have only featured Standard Chartered. For institutions that consider their status as "Hong Kong Dollar note-issuing banks" a core brand asset built over 160 years, this symbolic absence would be unacceptable. Hence, HSBC chose to follow suit.

Rule Two: Extremely High Technical and Compliance Thresholds

Building multi-million-dollar HSM data centers, anti-money laundering (AML) frameworks, on-chain monitoring systems, reserve asset pools—going through all this turns stablecoin issuance into a pure cost investment, with short-term ROI looking less than optimistic. Most commercial entities, after assessment, might choose to wait and see.

But HSBC and Standard Chartered couldn't easily back out. Rule One had already created a strategic lock-in.

Rule Three: Repeated Scrutiny of Business Logic

During the interview stage, the HKMA repeatedly asked applicants: "Why do you want to issue your own stablecoin instead of using someone else's?"

This was a signal released in advance: Profit is not the primary consideration. The applicants who ultimately remained gave similar answers: "We can help Hong Kong get this infrastructure up and running."

The combination of these three rules created a unique participation logic: HSBC and Standard Chartered applied proactively, invested tens of millions of dollars proactively, and proactively shouldered the costs of user education and scenario development. This wasn't the result of an administrative order, but the natural outcome of the rule design.

III. The "Free Infrastructure" Logic Behind the High Threshold

Getting the license is just the beginning. The regulatory constraints Hong Kong has placed on stablecoin issuers are arguably the strictest globally:

• Reserve Assets: Must be cash, deposits with a maturity of 3 months or less, or government bonds with a maturity of 1 year or less. Stocks, corporate bonds, or crypto assets are not allowed, and reserves must be denominated in the currency of issuance;
• Independent Custody: Reserve assets must be held by licensed banks or recognized custodians, segregated from the issuer's own assets, with stablecoin holders having priority in bankruptcy;
• Rigid Redemption: Must be completed within 1 business day, with no delays permitted for any reason;
• High-Frequency Auditing: Daily reporting, weekly submissions to the HKMA, monthly certification by external auditors with public disclosure;
• Zero Interest: Licensees are prohibited from paying any interest to stablecoin holders, blocking the "wealth management product" path.

What do these rules mean? They mean HSBC and Standard Chartered are essentially footing the bill to build "free" infrastructure for Hong Kong's Web3 ecosystem. HSM data centers, KYC/AML systems, on-chain monitoring, user education, merchant onboarding, cross-border B2B scenario development—these were the biggest pain points for ecosystem growth, now being shouldered by two note-issuing banks under the guise of "commercial stablecoins." They are the road pavers, not the toll collectors.

IV. Where Are the Opportunities for Web3?

The story is far from over after the first batch of licenses.

The true value of stablecoins lies in their role as the fundamental settlement unit for the on-chain economy. When Hong Kong's licensed stablecoins can flow freely between exchanges, RWA platforms, and cross-border payment channels, every service node around this pipeline—brokers, asset managers, clearing intermediaries, custodians, market makers—will benefit from a wave of infrastructure reconstruction.

The HKMA has made it clear: the initial focus will be on cross-border payments, local payments, and tokenized asset settlement, with exploration into programmable payments and supply chain finance.

These are precisely the home turf for native Web3 companies.

Standard Chartered's chosen joint venture path (Anchor Point Finance) has already signaled this: Animoca Brands, a Web3 gaming giant, joining the fray means traditional note-issuing banks also need native partners to supplement their scenario capabilities.

Securities firms can undertake digital asset custody, RWA platforms need secondary market makers, on-chain clearing requires professional intermediaries, tokenized securities need underwriters—these are the real business opportunities emerging after the licenses are granted.

V. "Playing Slow to Win Fast" in the Global Race

In a horizontal comparison, Hong Kong is indeed half a step behind.

In December 2024, the EU's MiCA regulation came fully into effect; in June 2025, the US Senate passed a procedural vote on the GENIUS Act. Washington's logic is straightforward: if stablecoins are pegged to the US Dollar, they help absorb US Treasury demand and extend dollar hegemony.

Faced with pressure from both Europe and the US, Hong Kong chose to "play slow to win fast."

But there's a reason for the slowness: Hong Kong is using the descriptor "the world's first fully implemented fiat-backed stablecoin licensing regime" to secure its seat at the table in future interoperability negotiations.

The settlement foundation for RWA asset tokenization, the digital bill system for cross-border trade—the end of each of these roads requires a compliant, trustworthy, and redeemable stablecoin as its starting point.

Hong Kong has just built that starting point.

VI. Conclusion: Halftime, Not the Final Whistle

The outcome of the first licensing round may have disappointed market participants eager for quick entry. But if we take a longer-term perspective, this is a classic "infrastructure-first" script:

Stage One: Let traditional institutions with the capability, willingness, and strategic patience pave the road. Stage Two: Let players with the scenarios, technology, and innovative energy drive on it.

HSBC and Standard Chartered are the road pavers, while the various participants in the ecosystem—whether Web3 teams, tech companies, or SMEs seeking digital upgrades—are the future drivers.

Hong Kong's stablecoin narrative has only just begun.