Hong Kong Stablecoin Initiative: Standard Chartered, Animoca Brands, and HKT Partner Up

Standard Chartered Bank Hong Kong, Animoca Brands, and Hong Kong Telecommunications (HKT) have partnered to launch a Hong Kong dollar-backed stablecoin, seeking a license from the Hong Kong Monetary Authority (HKMA). Leveraging Standard Chartered’s stablecoin experience, Animoca’s blockchain expertise, and HKT’s mobile payment capabilities, the joint venture aims to develop stablecoin applications for domestic and cross-border payments.

This partnership comes as Hong Kong strengthens its position in the digital asset space, competing with Singapore. The city has already approved Bitcoin and Ether ETFs and introduced a strict licensing regime for crypto exchanges. The new stablecoin initiative aligns with Hong Kong’s legislative developments, as a stablecoin bill introduced on December 6, 2024, and read on December 18, will require issuers to obtain an HKMA license and meet reserve and price stability standards upon enactment.

Since July 2024, the three firms have participated in Hong Kong’s stablecoin issuer sandbox, alongside Jingdong Coinlink Technology and RD InnoTech. Jingdong plans to launch its own HKD-pegged stablecoin, while RD InnoTech is working with HashKey exchange on a similar project.

Hong Kong’s proactive approach to digital assets highlights its ambition to become a leading hub for blockchain and cryptocurrency innovation. The new stablecoin venture is expected to drive advancements in fintech and enhance Hong Kong’s competitive edge in the global digital economy.