Hong Kong has postponed its first batch of stablecoin licenses amid money laundering concerns that could warrant stricter KYC rules.
Hong Kong Has Delayed Its Initial Batch Of Stablecoin LicensesHong Kong first passed its stablecoin bill in August 2025, making it so that organizations looking to issue stablecoins in the Chinese city’s jurisdiction will need to acquire approval from the Hong Kong Monetary Authority (HKMA).
Following the rollout of the new rules, HKMA started receiving applications from big names like Standard Chartered in its Joint Venture (JV) and HSBC. The first batch of approvals was expected to go out by the end of March, but now April has begun, and no licenses have been handed out at all.
Meanwhile, Japan took ahead of its neighbors with the launch of its first yen-backed coin last year. The nation could also see its first bank-backed stablecoin this year, with Shinsei Trust and Banking planning on a Q2 2026 launch.
Over in the United States, President Donald Trump signed into law the GENIUS Act last year, providing a formal framework for stablecoins. Overall, this part of the cryptocurrency sector has seen significant global regulatory momentum over the past year, so it’s not surprising to see that its market cap has held up relatively well despite the recent market downturn.
At the time of writing, Bitcoin is trading around $68,700, down over 4% in the last week.
