Unregulated Stablecoins Appear in Hong Kong Amid Official Absence

The Hong Kong Monetary Authority has issued a warning about the emergence of counterfeit stablecoins in the city, ahead of the official launch of licensed products. According to the HKMA, certain tokens labeled as ‘HKDAP’ and ‘HSBC’ are being traded, yet they are not associated with any authorized issuer. This was confirmed by the licensed stablecoin applicants mentioned in related media reports, who stated that they have not released any regulated stablecoins. The HKMA recently 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 is reminiscent of 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, recommending that users only rely on official communications from licensed entities and conduct transactions through regulated channels. Industry insiders anticipate that the launch will take place during Hong Kong's fintech week in November.