Standard Chartered, Animoca Brands, and HKT have just announced a joint venture to issue a stablecoin pegged to the Hong Kong dollar (HKD), marking a significant step in connecting traditional finance with Web3. This is part of the strategy for digital asset development under the supervision of the Hong Kong Monetary Authority (HKMA).

A Strategic Partnership

This joint venture will leverage the individual strengths of each entity:

  • #StandardChartered : Take on the role of banking infrastructure and digital asset governance, leveraging experience collaborating with global stablecoin issuers.

  • #AnimocaBrands : Develop Web3 applications for the HKD stablecoin, expanding the blockchain ecosystem.

  • #HKT : Contribute expertise in e-wallets and digital payments, promoting the application of stablecoins domestically and internationally.

Ambition to Connect Traditional Finance and Web3

Theo Bill Winters, CEO of Standard Chartered, the HKD stablecoin will enhance payment efficiency, especially in cross-border transactions, serving as a bridge between traditional finance and Web3.
Mary Huen, CEO of Standard Chartered for the Hong Kong and North Asia region, emphasizes the goal of developing a reliable and safe stablecoin for both organizations and individuals.
Evan Auyang, Chairman of Animoca Brands, expects this project to make Hong Kong a global Web3 hub.

Support from the Government and Testing in the HKMA Sandbox

The joint venture has been participating in the HKMA's stablecoin testing sandbox since July 2024, exploring the potential for developing financial markets and payments by connecting Web3 with traditional finance.

This move is driven by Hong Kong's supportive policy for the crypto industry, including proposals to reduce taxes, licensing exchanges, and plans to issue stablecoins. Some lawmakers have even suggested integrating Bitcoin into the national financial reserves to boost investment and attract talent.

A Solid Foundation for the Official HKD Stablecoin

With support from major financial institutions and a clear legal framework, this joint venture could become one of the first entities to issue an official HKD stablecoin in Hong Kong. This is a strategic move to help Hong Kong solidify its position as a global digital asset hub while promoting the development of Web3 and digital finance.

Warning About Crypto Market Risks

Investing in cryptocurrency always carries high risks. The value of stablecoins can fluctuate significantly and be affected by legal or market factors. Please consider carefully and fully research before deciding to invest. Crypto investment is not suitable for everyone.