Hong Kong and Global Regulators Push for Stablecoin Licensing

Hong Kong prepares to issue first stablecoin licenses by March 2026 as the US, UAE, and Singapore accelerate digital asset oversight frameworks.

The move comes amid coordinated regulatory efforts across Asia, Europe, the Middle East, and the United States, all seeking to bring stablecoins under the formal supervision of financial authorities.

Hong Kong Prepares First Banking Licenses

According to reports, the Hong Kong Monetary Authority (HKMA) is expected to issue the first stablecoin licenses around March 24, 2026. Among the frontrunners for these licenses are banking giant HSBC and a joint venture led by Standard Chartered.

The participation of HSBC is particularly notable, as the bank was not part of the HKMA’s initial regulatory sandbox. This suggests that regulators are prepared to allow direct involvement from large, well-capitalized banks in the emerging sector.

Standard Chartered’s joint project includes Animoca Brands and the telecommunications firm HKT. Together, they plan to issue a stablecoin pegged to the Hong Kong dollar. This combination of banking services, blockchain technology, and consumer infrastructure illustrates how the traditional and digital financial sectors are gradually merging.

Regulators in Hong Kong appear to be intentionally prioritizing banks that already have note-issuing authority to build trust within the new system.

United States Establishes Regulatory Framework

In the United States, the process is moving more slowly but continues to progress. With a historic memorandum signed yesterday between the SEC and CFTC, America is signaling its intent to stop lagging behind in digital asset regulation. Currently, two key bills are under discussion.

The first is the GENIUS Act, which requires stablecoin issuers to maintain 100% reserves in high-quality liquid assets—a model similar to the regulation of money market funds.

The second is the CLARITY Act, which addresses the issue of yield on stablecoins. Lawmakers are debating a potential ban on passive yield while allowing rewards linked to specific user actions.

This distinction could have significant consequences for market competition, as yield has been one of the primary tools used by new issuers to attract users.

Global Momentum: UAE, Singapore, and UK Take Action

Several markets have already transitioned from legislative debates to active use. The United Arab Emirates legalized stablecoins pegged to the dirham through the “Payment Token Services Regulation” in 2024.

The first licensed token, AE Coin, is already being used in real-world commercial payments. Banks such as First Abu Dhabi Bank and RAKBANK have received permission to issue their own stablecoins starting in 2026.

Singapore is also developing a strict regulatory framework. The Monetary Authority of Singapore (MAS) stipulates that only stablecoins pegged to the Singapore dollar or G10 currencies, and backed by full reserves, can be officially licensed.

Companies like StraitsX and Paxos Digital are expected to be among the first licensed issuers in the region.

In the United Kingdom, the Bank of England and the Financial Conduct Authority are working on a joint regulatory model for stablecoins.

The official document is expected to be published in the second quarter of 2026, with license applications opening later that year.