HKMA to Issue First Stablecoin Licences in March, Few Approvals Expected

Hong Kong plans first stablecoin licences in March, with limited approvals expected as regulators finalize reviews under new Stablecoin Ordinance.

Hong Kong is approaching a major regulatory milestone for digital assets this March. HKMA Chief Executive Eddie Yue confirmed that the stablecoin issuer licences will be issued in the near future. However, regulators anticipate that a very small number of approvals will be granted during the initial rollout.

HKMA Finalizes Reviews Ahead of March Decisions

Speaking at a meeting of the Legislative Council, Yue said the process for reviewing the application is almost finished. In this regard, he added that the authorities continue to be concerned with keeping monetary stability and market confidence. Therefore, regulators are focusing on quality controls, instead of licensing volume in a short amount of time.

Related Reading: Hong Kong Enacts Stablecoin Ordinance, Begins License Processing | Live Bitcoin News

At a later media briefing, Yue explained the basic evaluation standards used to make decisions. These include defensible use cases, operational resilience, and comprehensive financial risk management. Also, evaluations highlight robust anti-money laundering safeguards and clear structures of reserve backing.

Yue explained that issuers of such are responsible for proving the utility of stablecoins in real economic activity. Furthermore, applicants must have effective governance and internal compliance systems. As a consequence, speculative models have less than good chances to be approved in the first licensing phase.

The HKMA did not reveal how many applications have been received so far. Likewise, officials refused to say how many licences could be granted in March. Nevertheless, regulators emphasized that all the approvals will be on consistent supervisory benchmarks.

Stablecoin Ordinance Signals Shift Toward Formal Oversight

Hong Kong’s Stablecoin Ordinance becomes official on August 1, 2025. Under the framework, all issuers of fiat-referenced stablecoins would need to obtain regulatory licences. Meanwhile, the transitional period for pre-existing issuers ended on 31 January 2026.

This date put a lot of pressure on compliance across the digital asset industry. Consequently, the issuers incapable of meeting the standards set by the regulations were forced to suspend or exit operations. Therefore, the approvals in March mark the first test of the formal stablecoin regime in Hong Kong.

Although the recipients of the licences are still withheld, there are several institutions that are widely viewed as strong contenders. Anchorpoint Financial is the joint venture of Standard Chartered Hong Kong, Animoca brands and HKT. In addition, JINGDONG Coinlink Technology has previously taken part in the HKMA regulatory sandbox.

Another sandbox participant RD InnoTech is also considered a potential applicant. Meanwhile, major banks such as HSBC and ICBC have signaled their interest in stablecoin issuance. However, the regulators have not confirmed whether big banks will feature in the initial batch.

Overall, the licensing move represents moving from experimental sandbox testing to supervised market operations. Consequently, Hong Kong seeks to promote a balance between innovation and financial stability and consumer protection. If successful, the framework could boost Hong Kong’s position as a regulated digital asset hub.

Regulators think that cautious implementation is essential for the long-term credibility of the market. Therefore, low initial approvals can increase investor confidence instead of innovation. Reuters previously ran a story saying that authorities prefer stability over faster market growth.

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