HSBC has signalled its intent to engage with Hong Kong’s forthcoming stablecoin regime, as its CEO Georges Elhedery declined to confirm a licence application but noted ongoing discussions with regulators. This indicates the bank’s interest in the city’s digital innovation landscape. The move aligns with Hong Kong’s push to establish itself as a hub for digital asset trading.
HSBC, the largest lender in Europe and Hong Kong by assets, has signalled for the first time its intent to engage with the city’s forthcoming stablecoin regime, citing Hong Kong’s sound regulatory environment and its potential to drive innovation in the digital asset space.
“We are interested in every part of Hong Kong’s innovation landscape, and we want to play a role in all of it,” CEO Georges Elhedery said in a small-group interview on Thursday, in response to a question on whether the bank had applied for a stablecoin issuer licence. This came a day after HSBC posted better-than-expected results for 2025.
The Hong Kong Monetary Authority (HKMA) is expected to issue the first batch of stablecoin issuer licences in March, a key milestone in the city’s push to establish itself as a hub for digital asset trading. Stablecoins are cryptocurrencies pegged to assets like the US dollar and are used to settle payments in financial transactions.
Elhedery declined to confirm whether the lender had submitted an application but indicated that discussions with the regulator were ongoing. “We want to invest in people and technology in Hong Kong because we remain strong believers in the growth opportunities here. We have been in active discussions [with regulators],” he said.
Sources in the cryptocurrency industry suggested HSBC was one of the applicants or was forming an alliance with other firms for the forthcoming licences, underscoring its commitment to playing a central role in the city’s evolving financial ecosystem.
HSBC would only be involved in stablecoins if there was appropriate regulation—like in Hong Kong—but would not be involved in markets where there was no regulation, Elhedery said.
