Hong Kong is processing enquiries from more than 40 companies ahead of the implementation of its Stablecoin Bill on 1 August. The Hong Kong Monetary Authority will start accepting stablecoin licence applications under the new regulatory framework.

Notable firms preparing to apply include JD.com, Ant Group, Standard Chartered, and Circle. Industry insiders say most applicants are large mainland Chinese companies, while smaller firms often lack the operational and technical capacity required.

Use cases under consideration range from stablecoin issuance to settlement infrastructure and wallet tools enabling fiat conversion.

Hong Kong's approach focuses on formal oversight and compliance, unlike crypto-native models used in Singapore, Japan, and the EU. Experts note that transaction costs associated with stablecoins-accounting for exchange fees, on-chain processing, and compliance-may still reach around one percent.

The city's licensing process could set a benchmark for Asian financial centres, balancing innovation and regulatory control.