Hong Kong missed its own deadline. The city had promised to approve its first round of licensed stablecoin issuers by the end of March 2026, but that did not happen. Months after a new law came into force, the official list of approved issuers is still blank. On August 1, 2025, the Hong Kong Monetary Authority, or HKMA, implemented the Stablecoin Ordinance. Senior authorities have since stated time and time again that the city will be prepared to issue the first batch of permits by March. Eddie Yue, the head of the HKMA, stated as much in early February. In the 2026/27 Fiscal Budget, Financial Secretary Paul Chan Mo-po went one step further, stating that a “small number” of compliant issuers will receive their licenses that month, allowing the city to start testing stablecoin applications in the real world under controlled conditions. An HKMA representative responded to a question about the hold-up, saying, “The Authority is actively taking forward the licensing matter and would announce further details in due course.” There was no updated date provided. Sandbox participants are still waiting A number of well-known businesses were considered the most likely initial beneficiaries. They all participated in the stablecoin sandbox program offered by the HKMA, which let them to test their business strategies in a safe environment. JINGDONG Coinlink Technology Hong Kong Limited, RD InnoTech Limited, and a joint group consisting of Standard Chartered Bank (Hong Kong) Limited, Animoca Brands Limited, and Hong Kong Telecommunications (HKT) Limited were among the participants. None of them has been given the all-clear. Anyone applying for a license must meet strict conditions outlined by the HKMA. To ensure that their stablecoins are always fully supported, issuers must adhere to stringent regulations on capital reserves and redemption processes. People close to the industry say the holdup seems to be administrative rather than a sign of deeper problems. Jack Poon, a professor at Hong Kong Polytechnic University and a member of the task force on promoting Hong Kong Web3 development, played down the significance of the delay. “Likely, it is more administrative to ensure all the items are checked, or perhaps, the narrative of how the new issuer will position itself for the future,” he said. Livio Weng, CEO of Bitfire, took a similar view. He said the pause reflects a deliberate choice to get things right before moving fast. “Hong Kong’s approach to digital finance leadership has consistently been ‘strict first, flexible later.’ This careful compliance review ensures Hong Kong’s stablecoin ecosystem is built on a secure foundation from the start,” Weng said. Bitfire CEO on Hong Kong’s “strict first” Stablecoin approach. Source: @_BitfireGroup Broader goals are seen as intact The hold-up has real consequences. Without licensed HKD stablecoins , a key component of the city’s payment and cross-border settlement infrastructure remains missing. Richard Portes, an economics professor at London Business School, said the caution is understandable. He pointed out that the core danger with any stablecoin is the possibility of a sudden rush by holders to cash out, much like a bank run. Despite the stumble, most observers believe Hong Kong’s broader goals remain on track. Kenny Tang Sing-hing, chairman of the Hong Kong Institute of Financial Analysts and Professional Commentators, said the delay should not be read as a change in direction. “Even if it is not announced in March, I believe the overall plan will not be affected,” Tang said. He added that the push is tied to policy priorities coming from Beijing. The Hong Kong government says it wants to welcome new technology while maintaining financial system stability. Its guiding principle is that the same activity, carrying the same risk, should be subject to the same rules regardless of the technology involved. Alongside the stablecoin work, the HKMA is also drawing up a licensing framework for digital asset dealers and custodian service providers. For now, the market waits. Nobody knows when the first HKD stablecoin will actually go live. The smartest crypto minds already read our newsletter. Want in? Join them .
