Standard Chartered Bank Hong Kong (SCBHK), Animoca Brands and HKT have agreed to form a joint venture to issue a stablecoin backed by the Hong Kong dollar. The new joint venture intends to apply for a license from the Hong Kong Monetary Authority (HKMA) under a new regulatory regime, subject to the passage of the Stablecoins Bill, the companies said in a Monday (Feb. 17) press release. Hong Kong’s stablecoin bill is under review and, if enacted, will require stablecoin issuers to obtain an HKMA license and comply with reserve and price stability requirements, Cointelegraph reported Monday

Standard Chartered’s Hong Kong arm (SCBHK), in collaboration with Animoca Brands and telecom firm HKT, announced a joint venture to launch a Hong Kong dollar-backed stablecoin.According to a Feb. 17 statement, the initiative is pending regulatory approval from the Hong Kong Monetary Authority (HKMA).Since July 2024, SCBHK, Animoca Brands, and HKT have actively participated in HKMA’s stablecoin issuer sandbox. The joint venture will be among the first to launch a compliant, fiat-backed stablecoin in Hong Kong.Mary Huen, CEO of Standard Chartered Hong Kong and Greater China & North Asia, expressed confidence in launching one of the first Hong Kong dollar-backed stablecoins.She emphasized the joint venture’s commitment to fintech innovation to provide a secure and widely usable digital currency for institutions and individuals alike.Three-pronged effortSCBHK brings extensive experience working with stablecoin issuers globally, ensuring the joint venture benefits from its bank-grade infrastructure and robust governance framework.The bank has actively participated in HKMA’s tokenized money projects, positioning itself as a key player in Hong Kong’s evolving digital asset ecosystem.Meanwhile, Animoca Brands will leverage its deep industry networking to drive stablecoin adoption in crypto-native markets. The company plans to explore various use cases across the Web3 space, supporting the stablecoin’s long-term growth and integration into digital commerce.HKT is a company in the telecommunications and mobile wallet sector that will enhance the utility of stablecoins by developing applications for domestic and cross-border payments.Animoca Brands Group President Evan Auyang said stablecoins are one of the most established and promising applications of Web3 technology. He stressed that the partnership with SCBHK and HKT reaffirms Hong Kong’s potential to lead the digital asset industry in a safe and regulated environment.According to Chainalysis’ latest “Geography of Crypto Report,” Hong Kong’s year-over-year growth in crypto adoption was 85.6%, the largest in Eastern Asia.The report said the region’s supportive regulatory framework was the main driver for this growth, especially regarding institutional adoption.Mentioned in this article

Standard Chartered, Animoca Brands, and HKT collaborate to launch Hong Kong dollar-backed stablecoin.