Hong Kong Monetary Authority (HKMA) Deputy Chief Executive, Howard Lee, announced that the first licensed institutions will issue Hong Kong Dollar (HKD) stablecoins. Future issuance of other currencies, including the Chinese Yuan, is permissible under Hong Kong's framework but requires approval from mainland authorities. While there is no set timeline for the second batch of licenses, HKMA is in ongoing discussions with interested applicants. HSBC has revealed plans to launch its HKD stablecoin in the second half of the year. The stablecoin will integrate seamlessly with PayMe and the HSBC HK App, facilitating peer-to-peer (P2P) transfers, peer-to-merchant (P2M) payments, and subscription to tokenized investment products.