Largest Bank in Hong Kong Explores Digital HKDollar in new project

HSBC took a major step in digital currency innovation by concluding experimental trials under the HKMA’s Project e-HKD+.

The bank focused on how digital money could run effectively across various DLT systems. Their research included both public networks like Ethereum, Polygon, Arbitrum, Linea and HSBC’s own Hyperledger Besu-powered private blockchain.

They explored ways to enhance settlement for tokenized assets and maintain security through tools like Privacy Enhancing Technologies and Decentralized Identity solutions. These trials aimed to uncover practical strategies for a full-scale digital money ecosystem in Hong Kong.

Survey shows support but demands strong privacy controls

In April 2025, HSBC surveyed 744 residents to gauge opinions on the digital Hong Kong dollar. Privacy ranked highest among user concerns, with 90% identifying it as essential. While just 42% of the public had heard of e-HKD, the figure jumped to 65% among professional investors.

Roughly one in three respondents said they would use e-HKD for trading digital assets. Many cited official support and blockchain transparency as key reasons for trust in the system.

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HSBC strengthens role in digital currency development

Beyond this survey and pilot, HSBC has played a central role in shaping Hong Kong’s digital finance future. The bank has contributed to initiatives like Project mBridge, Project Ensemble, and tokenized green bond issuance.

Most recently, HSBC launched the city’s first blockchain-based tokenized deposit service for corporate clients. The bank says these efforts reflect its commitment to secure and scalable innovations in digital finance. Further findings from Project e-HKD+ will be revealed later this year.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.