Hong Kong’s HKDAP stablecoin could launch this month

A Hong Kong dollar stablecoin backed by a Standard Chartered-led venture could begin trading as early as July 31, 2026, offering the crypto market a regulated digital currency pegged to something other than the US dollar. The Hong Kong Economic Journal reported that HKDAP is expected to launch before the end of July.

The timing is nothing short of significant. Over the years, stablecoins have developed into a market valued at well over $310 billion, but nearly all of that value is tied up in US dollar-pegged tokens. According to DefiLlama, Tether (USDT) accounts for around 59% of the market while USD Coin (USDC) makes up about 24%. If we consider other stablecoins that are not dollar-based, then you can see that it is a very small segment.

In this context, HKDAP (HKD At Par) is one of the first Hong Kong dollar stablecoins to be issued under the relevant regulatory framework and with the support of an international bank.

Who is issuing HKDAP?

According to reports, Anchorpoint Financial Limited, a joint venture between Standard Chartered Bank (Hong Kong), HKT (a telecommunications company), and Animoca Brands (a Web3 firm), will issue the HKDAP.  On April 10, 2026, the Hong Kong Monetary Authority (HKMA) awarded a license to Anchorpoint to become one of the first stablecoin issuers under Hong Kong’s Stablecoins Ordinance.

Anchorpoint plans to roll out its HKDAP in phases, starting from late 2026. Instead of promoting its token to consumers directly, it will use a business-to-business-to-consumer (B2B2C) approach and collaborate with reputable companies in distributing the token.

The second issuer to acquire a license is HSBC, which has indicated its plans to set up its own Hong Kong dollar stablecoin through its digital bank platforms, including PayMe and HSBC HK Mobile Banking.

Why a HKD stablecoin is notable for crypto

HKDAP is entering a market where almost all well-established stablecoins are linked to US dollars. By introducing a regulated Hong Kong dollar equivalent, it provides financial institutions as well as cryptocurrency users with options for payment, settlement, and tokenized assets while also reinforcing Hong Kong’s pursuit of becoming a leading digital asset hub.

The new licensing system raises the regulatory threshold. According to HKMA regulations, stablecoin issuers have to back any outstanding stablecoins with high-quality reserve assets, establish clear arrangements for the conversion of their tokens into Hong Kong dollars at the same value, and comply with the rules regarding anti-money laundering and customer verification.

HKMA Chief Executive Eddie Yue said the first licences mark the beginning of a broader regulated ecosystem rather than a one-time approval.

“The granting of stablecoin issuer licences is an important milestone for the development of digital assets in Hong Kong. The regulatory regime provides an orderly operating environment for stablecoin issuers to apply innovative technologies while ensuring robust user protection and effective risk management, which will foster the development of a healthy, responsible, and sustainable stablecoin ecosystem.”

According to the regulator, licensed stablecoins should be employed in applications other than trading cryptocurrencies such as international payments, domestic payments, and tokenization of financial services.

The reception of HKDAP beyond Hong Kong will depend on its adoption by exchange platforms, payment providers, and commercial banks. HKDAP may not become a competitor for US dollar-pegged stablecoins in the near future, but at least it increases the number of regulated cryptocurrencies in the marketplace.

What to watch next

As reported, the first milestone to look out for is whether HKDAP is officially launched by July 31, 2026. The next milestone that should be monitored is how fast Anchorpoint scales through its B2B2C distribution model and whether exchanges, payment systems, and institutional users will incorporate the token into their daily financial activity.

The planned launch of HSBC’s stablecoin should also be monitored because it will provide insight into how quickly the regulatory environment in Hong Kong can lead to adoption in reality.

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