Unregulated Hong Kong Stablecoins Emerge Amid Official Absence

The central banking authority of Hong Kong has cautioned that fake digital tokens are taking advantage of the city's upcoming stablecoin regulations before any officially sanctioned products have been released. According to a statement from the Hong Kong Monetary Authority, tokens bearing the 'HKDAP' and 'HSBC' labels are circulating, but they are not associated with any authorized entities. The statement also confirmed that the licensed applicants mentioned in related media reports have not issued 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. This decision mirrors the existing monetary system in Hong Kong, where a limited number of commercial banks are authorized to issue banknotes, with the chosen entities being HSBC and a consortium led by Standard Chartered. The HKMA warned the public to be cautious of fraudulent activities, advising them to only rely on official communications from licensed entities and to conduct transactions through regulated channels. Industry insiders anticipate the official launch to take place during Hong Kong's fintech week in November.