Unregulated Hong Kong Stablecoins Emerge Amid Official Absence

Hong Kong's central banking authority has cautioned that fake stablecoins are taking advantage of the city's forthcoming stablecoin framework, even before the introduction of a single officially licensed product. The Hong Kong Monetary Authority (HKMA) issued a statement revealing that tokens labeled with 'HKDAP' and 'HSBC' are being traded, but are not affiliated with any approved issuer. The two applicants for licensed stablecoins referenced in related media reports have confirmed that they have not released any regulated stablecoins, according to the HKMA. Earlier this month, the HKMA awarded its first stablecoin licenses under the newly enacted Stablecoins Ordinance, which became effective in August 2025. The selection of two groups from 36 applicants mirrors the existing monetary system in Hong Kong, where a limited number of commercial banks are authorized to issue banknotes. The HKMA warned the public to be cautious of fraudulent activities, advising them to only rely on official communications from licensed issuers and to conduct transactions through regulated channels. According to insiders, the launch of licensed stablecoins is expected to take place during Hong Kong's fintech week in November.