Hong Kong has received 36 applications for stablecoin issuance licenses. This indicates strong initial demand ahead of its new regulatory regime. Officials say the first approvals could come early next year. While regulators act carefully to balance innovation with financial stability. The update came from Financial Services and Treasury Secretary Christopher Hui. He will speak this week as Hong Kong moves forward with one of Asia’s most detailed stablecoin frameworks.
36 Stablecoin Applications Submitted Before First Approval Window
According to the Hong Kong Economic Journal, applications arrived before the end of September. Shortly after the city’s Stablecoin Ordinance went into effect in August. The ordinance formally requires stablecoin issuers to obtain licenses before offering products to the public. Hui confirmed that regulators will not rush approvals. However, in the first phase only a limited number of licenses will be granted. Authorities want to test the system in real conditions before expanding access. This approach reflects Hong Kong’s earlier launch of virtual asset trading platform licenses. Where only a handful of exchanges passed the initial review.
Reserve support, price stability and the fight against money laundering take priority
Regulators have made their priorities clear. Applications will first be assessed based on reserve management, price stabilization mechanisms and anti-money laundering controls. Issuers must demonstrate that stablecoins are fully backed, adequately segregated, and subject to sound governance. The goal is to avoid scenarios where refunds fail or prices break from their peg during market stress.
9月底，香港已接获 36…
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Hui said these rules are designed not only to protect investors but also to reduce transaction disputes by establishing clear compliance standards. In short, fewer gray areas, fewer explosions. This stance comes amid broader regional scrutiny. Last month, China’s central bank warned that stablecoins could enable illicit financial activities. Hong Kong appears determined to address those risks head-on rather than curbing adoption entirely.
Custody licensing framework moves to Legislative Council next
The issuance of stablecoins is just one piece of the puzzle. Hong Kong is also preparing a licensing regime for virtual asset custody services, a critical level for institutions. Hui confirmed that his office is working with the Securities and Futures Commission (SFC) to finalize the framework. The government hopes the proposal will reach the Legislative Council in 2026.
Custodians will face requirements related to asset segregation, security controls and operational resilience. This is especially relevant for banks, fund managers and stablecoin issuers that rely on third-party custody. Once implemented, the system would give Hong Kong one of the most comprehensive regulatory packages for digital assets in Asia.
Hong Kong bets on regulation as a competitive advantage
Officials called the effort deliberate, not restrictive. Hui said the government has “meticulously crafted” its Web3 and digital asset policies to align with global standards. Leaving room for experimentation. The message is clear. Hong Kong wants stablecoins. He only wants regulated stablecoins. If approvals start early as planned. Hong Kong could emerge as a key hub for issuing regulatory-compliant stablecoins. Especially for companies targeting Asian and offshore markets. Currently, the race is underway; 36 applicants are waiting; only a few will make the first cut.
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