Standard Chartered and Partners Launch Hong Kong Dollar-Backed Stablecoin

Highlights:

• Standard Chartered, Animoca, and HKT have formed a joint venture to launch a stablecoin.
• Staticcoin will improve payment efficiency and cross-border transactions in Hong Kong.
• The stablecoin initiative strengthens Hong Kong’s global digital asset hub position.

Standard Chartered, Animoca Brands, and HKT have formed a joint venture to introduce a stablecoin backed by the Hong Kong dollar. The three companies entered into agreements to obtain authorization under the new regulatory structure that the Hong Kong Monetary Authority (HKMA) developed. The Hong Kong dollar-backed stablecoin will improve payment methods and grow Hong Kong’s financial operation network.

🚨 Hong Kong is going all in on stablecoins!

Standard Chartered, Animoca Brands & HKT are launching a HKD-backed stablecoin, applying for a license under new HKMA regulations.

Regulated stablecoins are reshaping finance—bringing institutional trust & liquidity to Web3.… pic.twitter.com/CMAOZOImF3

— Semoto (@Semoto_io) February 17, 2025

Standard Chartered’s Hong Kong division will provide the infrastructure needed for banking and governance expertise. The bank has experience working with stablecoin issuers worldwide and has participated in all of HKMA’s tokenized money projects. Animoca Brands will use its Web3 knowledge and global network to explore crypto-native opportunities. HKT will use its experience with mobile wallet solutions to build stablecoin applications.

Standard Chartered Group Chief Executive Bill Winters stressed the central role that virtual assets play in current financial operations. He stated, “Digital assets are here to stay and the development of different forms of tokenized money is integral to the development of the industry.”

The Strategic Role of Stablecoins in the Digital Economy

The planned stablecoin will support domestic and cross-border transactions, making payments more efficient and transparent. The stablecoin will benefit both individuals and businesses by integrating blockchain technology with traditional finance.

According to Animoca Brands, stablecoins remain necessary to make Web3 adoption possible. The company and its partners will create new applications for gaming entertainment and decentralized applications. In particular, the initiative aims to promote wider adoption of stablecoins by retail and financial institution sectors.

HKT aims to enhance the efficiency of payments and security between consumers and merchants as part of its strategy. The firm predicts its stablecoin will reduce the complexity of payments and increase visibility in transactions. Moreover, it will expand financial access to a wider population. The program supports the ambition of Hong Kong to establish itself as a leading international digital asset center.

Evan Auyang, Group President of Animoca Brands, expressed excitement about the collaboration. He said, “Stablecoins are one of the best proven and most widely recognized use cases for Web3, and we are still in the early stages of mass adoption.”

Stablecoins and Hong Kong’s Role in Shaping the Future of Digital Assets

The HKMA recently established a stablecoin issuer sandbox for market research on stablecoins. Moreover, the joint venture will be among the first stablecoin issuers under Hong Kong’s regulations.

Hong Kong aims to become a major player in the global digital asset market by drafting clear laws on stablecoins. The stablecoin licensing framework seeks to ensure security and financial stability. The approval process of the joint venture will determine the next steps for issuing the stablecoin.

Mary Huen, CEO of Standard Chartered Hong Kong and Greater China & North Asia, highlighted that the bank is committed to innovation.

She said:

“By leveraging the bank’s and our partners’ core strengths, we aim to launch a stablecoin that can be used securely by institutions and individuals across a wide number of use cases.”