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<Research>Sinolink Securities Expects HK Firms Conducting Stablecoin 'Sandbox' Testing, Firms w/ Scenario Like Ant to Possibly Be 1st to Obtain Licenses
Stablecoin is a type of crypto asset that have become a pricing tool in virtual assets on stable value, with the current market size exceeding US$260 billion, Sinolink Securities i...
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<Research>Sinolink Securities Expects HK Firms Conducting Stablecoin 'Sandbox' Testing, Firms w/ Scenario Like Ant to Possibly Be 1st to Obtain Licenses
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Stablecoin is a type of crypto asset that have become a pricing tool in virtual assets on stable value, with the current market size exceeding US$260 billion, Sinolink Securities issued a research report saying.

Stablecoins are pegged to other currencies, commodities or financial instruments, with the stability of fiat currency and the transferability and programmability of cryptocurrencies, thus serving as an intermediary between virtual and fiat currencies, i.e. a general equivalent in the virtual asset area.

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Secondary market virtual asset trading licenses include VATP licenses and SFC upgraded licenses. The former has been issued by the SFC to 11 virtual asset trading platforms including OSL and HashKey, while the latter has upgraded its license to include Guotai Haitong ( GUOTAI JUNAN I (01788.HK)  +0.080 (+1.256%)    Short selling $23.57M; Ratio 0.780%   ) and ZA ONLINE (06060.HK)  +1.660 (+9.274%)    Short selling $181.07M; Ratio 6.645%   (ZA Bank), etc..

Sinolink Securities anticipated that sandbox testing companies and companies with application scenarios, such as Ant, are more likely to be among the first to obtain licenses.

In March 2024, the Hong Kong Monetary Authority (HKMA), together with the Hong Kong Financial Services and the Treasury Bureau (FSTB), launched a stablecoin issuer sandbox to convey regulatory expectations and provide guidance to institutions planning to issue fiat stablecoins in Hong Kong, conducting tests in a risk-controlled and small-scale environment to collect data and user feedback, and to develop a target and risk-based regulatory regime.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-07-18 16:25.)

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