Key Takeaways
- Hong Kong may approve only a few stablecoin issuers in the first licensing round.
- 77 firms have applied, including HSBC, ICBC, Standard Chartered, and BOC.
- First approvals could be delayed until Q1 2026.
Hong Kong’s push to regulate stablecoins is entering a decisive stage.
Just weeks after enacting new legislation, the Hong Kong Monetary Authority (HKMA) has confirmed it will issue only a limited number of stablecoin licenses in the first phase, despite overwhelming demand from global banks and institutions.
Standard Chartered, BOC Emerge as Early Frontrunners
According to the Hong Kong Economic Journal, 77 firms have filed applications for a license since the rules took effect in early August.
Among them, industry sources point to Standard Chartered and Bank of China as the most likely candidates to secure early approval.
Other major players, including HSBC and ICBC, have also expressed interest. The HKMA is expected to grant just three to four licenses in the initial rollout.
Officials have stressed that applicants must demonstrate rigorous compliance with anti-money laundering (AML) and counter-terrorism financing (CFT) rules, maintain robust reserves, and provide transparency on redemption terms.
Approval May Slip Into 2026
While the stablecoin ordinance took effect on Aug. 1, the licensing process is likely to be prolonged. Regulators signaled that first approvals may not arrive until early 2026.
By limiting the number of issuers at the outset, Hong Kong aims to take a more controlled and deliberate pace in the stablecoin industry while ensuring it doesn’t get left behind in the global race.
With the U.S. only recently passing stablecoin legislation, Hong Kong has positioned itself as a first mover in Asia.
The new ordinance requires that any issuer offering stablecoins tied to the Hong Kong dollar—or targeting users in the territory—must hold a license.
By tightening the pool of eligible players to large, well-capitalized institutions, Hong Kong hopes to boost market credibility and encourage stablecoin adoption in cross-border payments.
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Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
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