Global Adoption

Animoca Brands, Standard Chartered’s Joint Venture Initiates Stablecoin Licensing Process in Hong Kong

Web3 investment firm Animoca Brands has officially revealed that its Hong Kong joint venture with Standard Chartered and Hong Kong Telecommunications (HKT) has started taking steps to obtain a stablecoin license in the region. The JV, named Anchorpoint Financial Limited, formally indicated interest with the local regulator in applying for a stablecoin issuer license on Aug. 1 as part of the application process outlined on the regulator’s website, the company said in a statement on Friday. An Animoca Brands representative confirmed with The Block that the indication of “formal interest” with the Hong Kong regulator is the first step in the stablecoin licensing process.

“Stablecoins represent one of the most compelling use cases within Web3, and we believe we are still at the early frontier of widespread adoption across institutions and retail alike,” said Evan Auyang, group president of Animoca Brands. “As assets continue to move on-chain, the HKMA-regulated fiat-referenced stablecoin is important in reinforcing Hong Kong’s position as a leading international financial center.” Hong Kong’s Stablecoins Ordinance took effect on Aug. 1, mandating that issuers of fiat-backed stablecoins obtain licensing from the Hong Kong Monetary Authority.

The trio’s application for a stablecoin issuer license aligns with their previously announced plans to explore issuance of a HKD-backed stablecoin. In March 2024, the HKMA launched a regulatory sandbox to test stablecoins, with all three companies participating starting in July. Going forward, Anchorpoint Financial aims to explore stablecoins’ role in financial market growth and payments that bridges Web3 and traditional finance.

Terron Gold

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