Counterfeit Stablecoins Emerge in Hong Kong Amid Regulatory Vacuum

Hong Kong's financial regulator has sounded the alarm over fake stablecoins that are capitalizing on the city's forthcoming stablecoin framework, even before the launch of a single authorized product. The Hong Kong Monetary Authority (HKMA) revealed that tokens labeled 'HKDAP' and 'HSBC' are being traded, but are not affiliated with any licensed issuer. This development comes after the HKMA recently awarded its inaugural stablecoin licenses under the Stablecoins Ordinance, which became effective in August 2025, selecting two applicants out of 36. The regulator cautioned the public to be cautious of scams, advising them to only rely on official communications from licensed entities and conduct transactions via regulated channels. Industry insiders anticipate the official launch of licensed stablecoins to coincide with Hong Kong's fintech week in November.