Hong Kong has delayed the issuance of its first stablecoin licences beyond the expected end of March deadline. The Hong Kong Monetary Authority (HKMA) confirmed that while the licensing process is advancing, no decisions have been announced yet. A spokesperson for the HKMA told Cointelegraph that they are actively working on the matter but did not provide a revised timeline.
The initial cohort of issuers was anticipated to include global banking giants like HSBC and a Standard Chartered-backed venture, though these names were not officially confirmed by the HKMA. The delay comes as Hong Kong navigates stringent regulatory requirements, including full backing of tokens with high-quality liquid reserves, one-day redemption processes, and Know Your Customer (KYC) controls.
The city’s cautious approach is partly due to pressure from mainland China, where regulators raised concerns about privately controlled digital currencies. This led major fintech players, such as Ant Group and JD.com, to pause their plans for Hong Kong stablecoin licences in October 2025.