Unregulated Hong Kong Stablecoins Emerge Amid Official Absence

Hong Kong's monetary authority has issued a warning regarding the presence of counterfeit stablecoins in the market, taking advantage of the city's new stablecoin regulations before any officially licensed products have been launched. According to the Hong Kong Monetary Authority, certain tokens labeled 'HKDAP' and 'HSBC' are being traded, but they are not associated with any authorized issuer. The licensed applicants mentioned in related media reports have confirmed that they have not released any regulated stablecoins. Earlier this month, the HKMA awarded its first stablecoin licenses under the Stablecoins Ordinance, which became effective in August 2025, selecting two groups out of 36 applicants. The selection of HSBC and a Standard Chartered-led entity reflects Hong Kong's existing banking system, where a limited number of commercial banks are authorized to issue banknotes. The HKMA has advised the public to be cautious of fraudulent activities and to only rely on official communications from licensed issuers, as well as to conduct transactions through regulated channels. Industry insiders anticipate that the launch of officially licensed stablecoins will occur during Hong Kong's fintech week in November.