The Hong Kong Monetary Authority (HKMA) has granted its first two stablecoin issuer licenses to HSBC and Anchorpoint Financial, a consortium led by Standard Chartered, under the newly implemented Stablecoins Ordinance effective from August 2025. This decision follows an assessment of 36 applications, with the HKMA emphasizing risk management and anti-money-laundering controls. HKMA chief executive Eddie Yue expressed optimism that these regulated stablecoins would enhance financial activities and provide value to individuals and businesses. The licenses come with stringent Know Your Customer (KYC) requirements, meaning transfers can only occur to verified wallets, fundamentally differentiating them from other widely used stablecoins like USDT. The move reflects a strategic choice by the HKMA to focus on bank-led stablecoin issuance rather than immediate central bank digital currency (CBDC) deployment for retail use, as recent pilot programs indicated weak demand for retail CBDCs. With stablecoins currently valued at approximately $310 billion, Hong Kong is positioning its regulated HKD stablecoins as competitive alternatives in regional trade settlement.