HKMA Chief Eddie Yue: Stablecoins to Launch This Year, Wealth Management Connect 3.0 Under Ongoing Discussions
Alina Collins
Hong Kong's first licensed stablecoins are about to go live — Certik-linked Arta Techfin will begin trials within weeks, HSBC targets Q3–Q4 — marking the city's shift from licensing to actual stablecoin operations.
Two licenses — what is each one for?
Arta Techfin (jointly founded by Standard Chartered Hong Kong, HKT and Animoca Brands) focuses on cross-border payments, aiming to cut remittance costs and speed up settlement for cross-border e-commerce and regional trade.
HSBC takes a different path, leaning toward retail payments and potentially connecting to clearing platforms to settle tokenized assets.
This means → Hong Kong is not betting stablecoins on a single use case. Two licensees, two distinct tracks — one for cross-border commerce, one for local retail.
Will more licenses follow?
Yue stated clearly: regulators will first observe how the initial licensees operate, then decide whether to accept new applications.
In plain terms = only two firms hold licenses today, and that number will not grow soon — the regulator wants to see real results before expanding.
This reflects a "move fast in small steps, adjust as you go" approach to stablecoin regulation, rather than a broad opening.
Stablecoins, CBDC, tokenized deposits — how do the three tracks divide?
Hong Kong is running three digital-currency experiments in parallel: a central-bank digital currency (a digital form of legal tender, not retail-facing), tokenized deposits (settled on existing bank infrastructure), and regulated stablecoins.
In plain terms = the CBDC is "official digital cash," tokenized deposits are "bank deposits in a new wrapper," and stablecoins are "privately issued, officially supervised" — a third path.
The three coexist and complement each other, each covering different scenarios to support financial-sector innovation.
Where does Wealth Connect 3.0 stand?
Yue disclosed that Hong Kong is in talks with mainland regulators on Cross-Border Wealth Connect 3.0, planning to expand eligible products, broaden participant criteria, and raise quotas.
However, no concrete timeline has been set.
This means → the upgrade direction is clear — more products, wider access, higher limits — but the actual launch still depends on how fast cross-border regulatory coordination proceeds.
Content is for reference only, not financial advice.