Hong Kong to grant first stablecoin issuer licenses in March: Report

Hong Kong's monetary authority said only a small number of stablecoin issuers will be approved initially, as application reviews near completion.

The Hong Kong Monetary Authority (HKMA), Hong Kong's financial regulator, is preparing to grant its first stablecoin issuer licenses in March, according to a Reuters report. 

During a Legislative Council meeting on Monday, HKMA Chief Executive Eddie Yue reportedly said the regulator’s review of stablecoin license applications was nearing completion. Yue added that the initial approvals will be limited, with only a “very small number” of licenses expected to be issued in the first batch. 

At a subsequent media briefing, the regulator said the assessments were focused on use cases, risk management, anti-money laundering (AML) controls and the quality of backing assets. Licensed issuers are also expected to comply with Hong Kong’s cross-border activity rules. 

Read more