Hong Kong will issue its first stablecoin licenses in March, as confirmed by Financial Secretary Paul Chan. This move forms part of a broader regulatory expansion, with new laws for digital asset dealers and custodians expected this year. The city’s strategy focuses on strengthening market liquidity, supporting tokenization, and developing its central bank digital currency infrastructure.
Hong Kong plans to issue its first stablecoin issuer licenses in March. Financial Secretary Paul Chan confirmed this timeline in his budget speech for 2026–27.
Initial approvals will target issuers whose tokens are backed by fiat currency. Authorities state they will assist licensed enterprises while ensuring regulatory compliance.
The city will also introduce a bill this year to establish licensing for digital asset dealers and custodians. These new rules will extend supervision to trading platforms and require over-the-counter crypto transactions to comply.
The Securities and Futures Commission is focusing on improving market liquidity as a primary objective. The regulator plans to develop solutions for accurate price detection and provide professional investors access to crypto margin financing.
Officials declared 2026 will focus on strengthening markets rather than promoting fast growth. This approach centers on liquidity, confidence, and responsible product development.
Hong Kong’s strategy integrates stablecoins within a wider digital asset framework that includes tokenization. The government will clarify rules for blockchain-based registers of debenture holders and electronic signatures for tokenized bonds.
The Hong Kong Monetary Authority is enhancing its wholesale central bank digital currency pilot, called EnsembleTX. This project aims to enable transactions with tokenized deposits and achieve cross-border interoperability.
The jurisdiction will also modify its Inland Revenue Ordinance for compliance with the OECD Crypto Asset Reporting Framework. This regulatory push builds infrastructure across stablecoins, market liquidity, and digital asset tokenization.
