HKMA indicates retail stablecoin use is feasible, with deployment methods determined by private institutions, given their shared technical base with the digital HKD and tokenized deposits.
Hong Kong Monetary Authority deputy chief executive Li Da-chi stated that retail use of stablecoins is viable, with actual implementation methods to be determined by commercial institutions. He emphasized that the digital HKD, stablecoins, and tokenized deposits share similar technology but differ by issuer type. This reinforces earlier plans for seven banks to roll out tokenized deposits in 2024, potentially paving the way for retail stablecoin adoption alongside these deposit innovations.