Hong Kong Warns of Fake Stablecoins Ahead of Official Launch

Hong Kong’s central bank has issued a strong warning about counterfeit tokens already circulating in the market, even before the city officially rolls out its regulated stablecoin framework. The Hong Kong Monetary Authority (HKMA) revealed that unauthorized digital tokens using the tickers “HKDAP” and “HSBC” are being promoted, despite having no connection to any approved or licensed issuer.

According to the HKMA, these fake stablecoins are attempting to exploit growing interest in Hong Kong’s upcoming stablecoin regime. The regulator emphasized that none of the officially selected applicants have launched any regulated digital assets so far. Both entities referenced in recent announcements, including HSBC and a consortium led by Standard Chartered, confirmed they have not issued any stablecoins tied to the new licensing system.

Earlier this month, the HKMA took a major step in shaping the region’s digital asset landscape by granting its first stablecoin licenses under the Stablecoins Ordinance. This regulatory framework, which came into effect in August 2025, attracted 36 applicants, but only two groups were selected. The structure mirrors Hong Kong’s traditional monetary system, where a limited number of commercial banks are authorized to issue banknotes, reinforcing trust and stability.

As interest in regulated stablecoins continues to rise, the HKMA is urging investors and users to remain cautious. The authority advises the public to rely strictly on official communications from licensed entities and to conduct transactions only through approved and regulated platforms. This move aims to protect consumers from scams and maintain confidence in Hong Kong’s evolving crypto ecosystem.

Industry insiders suggest that officially licensed stablecoins could debut during Hong Kong FinTech Week in November, potentially marking a significant milestone for the city’s digital finance ambitions. Until then, the HKMA continues to stress vigilance, highlighting the risks posed by fraudulent crypto tokens attempting to capitalize on market anticipation.