Hong Kong to Issue First Stablecoin Licenses in March, Expand Tokenized Bond Infrastructure

Highlights:

• Paul Chan confirms March rollout for Hong Kong’s first stablecoin licenses. 
• HKMA subsidiary CMU OmniClear also plans to build an integrated tokenized bond settlement platform.

• Chan said authorities are working to boost crypto liquidity for professional investors.

Hong Kong is moving ahead with a new chapter in its digital finance strategy. Financial Secretary Paul Chan confirmed during his 2026–27 budget speech that the city will begin granting its first fiat-referenced stablecoin licenses in March. The approvals will be limited at the start, but the change marks the first time issuers of these tokens will need formal authorization to operate in the city.

Chan emphasized that the government’s approach is not to block innovation but to guide it carefully. He said licensed issuers will be supported in testing practical applications, as long as they follow clear rules and manage risks properly. The broader aim is to support innovation without putting the financial system under pressure.

🚨HUGE: 🇭🇰Hong Kong to grant its first ever stablecoin issuer licenses in the coming days. pic.twitter.com/BQUExOJ0xf

— Coin Bureau (@coinbureau) February 25, 2026

The move comes as competition heats up across Asia and the Middle East. Singapore and Dubai have already positioned themselves as crypto-friendly centers with structured rulebooks. Hong Kong does not want to fall behind. By building a broader legal framework, officials hope to attract serious infrastructure players instead of short-term speculative activity.

Hong Kong Expands Tokenization Infrastructure Beyond Pilot Phase

Chan also discussed the plans that Hong Kong has for scaling its tokenization initiative. The CMU OmniClear Holdings, which is a subsidiary of the Hong Kong Monetary Authority, will be at the forefront of the development of the basic settlement infrastructure. To begin with, the infrastructure will support tokenized bonds, but later on, it will be expanded to accommodate other types of digital assets.

The platform will connect with tokenization networks across the region. The goal is gradual expansion, linking with other systems to strengthen cross-border compatibility. Chan noted that this step will further cement Hong Kong’s position as a serious player in digital asset development.

Importantly, tokenized bond settlement will now sit inside the HKMA’s post-trade infrastructure. This marks a shift away from limited pilot programs toward a more integrated market structure. Tokenization is moving from the testing phase to mainstream financial plumbing.

The Hong Kong government has already issued several series of tokenized government bonds. Chan stated that the third series was launched in the fourth quarter of last year and raised 10 billion Hong Kong dollars, which is about $1.28 billion. He also stated that the government will continue to issue tokenized bonds on a regular basis.

Liquidity is also at the top of the Hong Kong crypto agenda. In his speech on Wednesday, Financial Secretary Paul Chan said that the regulators are eager to see the local digital asset market become more active, especially among professional traders. He said that the Securities and Futures Commission will introduce more measures to enhance trading activity and promote a broader range of investment products.