Hong Kong stablecoin transition period enters countdown: projects that do not have temporary cards before January 31st must exit!

Starting from February 2026, only "licensed Hong Kong dollar stablecoins" will be allowed to circulate legally on the Hong Kong blockchain, marking a new stage of standardization in digital asset regulation.

Looking back at the regulatory process, in May 2025, the Hong Kong Legislative Council passed the "Stablecoins Bill", which clearly established a licensing system for fiat stablecoin issuers, laying a legal foundation for the regulatory framework. On August 1st of the same year, the "Stablecoins Regulations" officially came into effect, and the world's first comprehensive regulatory system for fiat stablecoins was successfully implemented. The Hong Kong Monetary Authority simultaneously released a series of regulatory rules, making clear provisions on core issues such as transition period arrangements and application requirements. Among them, transitional arrangements for existing stablecoin issuers have become a focus of market attention: the detailed rules require that existing issuers who fail to submit a complete license application to the Hong Kong Monetary Authority by September 30, 2025, will enter a one month "orderly closure period" from November 1, 2025; If the relevant activities are carried out without completing the graduation as required, it will constitute a criminal offense.

From the perspective of regulatory progress, the enthusiasm of market participants for application was once high. According to data disclosed by the Hong Kong Monetary Authority in October, as of September 30, 2025, a total of 36 institutions have submitted applications for stablecoin licenses, covering multiple types such as banks, technology companies, securities/asset management companies, e-commerce, payment institutions, and Web3 startups. And in the previous application intention statistics node on August 31st, this number reached 77, indicating the market's emphasis on the Hong Kong compliant stablecoin track. It is worth noting that the Hong Kong Monetary Authority has previously stated that the first stage of license approval has a high threshold and will only issue a few licenses. The first batch of licensed issuers will be announced as early as 2026, with a focus on cross-border trade and Web3 application scenarios.

As the deadline for exiting on January 31st approaches, projects that have not obtained temporary licenses are accelerating their completion work. According to the transitional provisions, only existing issuers who have submitted applications and received confirmation from the Hong Kong Monetary Authority are allowed to continue regulated stablecoin activities before January 31, 2026; The Hong Kong Monetary Authority will grant temporary licenses to eligible applicants before February 1, 2026. This means that if the application confirmation is not completed within the deadline or a temporary license is not obtained, the relevant project must be completely withdrawn from the market, otherwise it will face legal sanctions. The Hong Kong Monetary Authority has repeatedly reminded Hong Kong citizens to remain highly vigilant about the promotion and advertising of unlicensed stablecoins, and to bear the risks of holding unlicensed stablecoins on their own.

The end of this transition period will have a profound impact on the Web3 ecosystem and digital finance landscape in Hong Kong. As a key bridge connecting traditional finance and the crypto economy, the standardized development of stablecoins is regarded by the industry as an important lever for Hong Kong to strengthen its global voice in the digital asset field. From the perspective of regulatory logic, the "Stablecoins Regulations" adhere to the principle of "same activities, same risks, same supervision", and have established a strict regulatory system covering seven dimensions such as capital adequacy, reserve asset isolation, and anti money laundering. The minimum capital requirement of HKD 25 million not only ensures that the issuer has sufficient financial strength, but also takes into account the cultivation of innovative vitality.