Standard Chartered Expands HKDAP Stablecoin Into Banking Operations
Standard Chartered Bank (Hong Kong) is taking a major step toward bringing stablecoins into traditional banking after becoming the first bank authorized to distribute HKDAP, a regulated Hong Kong dollar-backed stablecoin issued by Anchorpoint Financial.
The bank said Monday that it has started working with eligible institutional clients and partners to explore practical applications for HKDAP. The initial focus includes tokenized fund settlements, treasury management and cross-border payments.
The move comes roughly two weeks after Anchorpoint Financial opened beta access to HKDAP through digital asset platforms HashKey Group and OSL. Standard Chartered's involvement gives the stablecoin a direct route into the conventional banking sector as Hong Kong continues developing its regulated digital asset market.
Standard Chartered Hong Kong plans to expand the range of HKDAP applications over the coming months. One of its key initiatives is scheduled for the fourth quarter, when the bank expects to support subscriptions and settlements for tokenized money market funds in cooperation with asset managers in Hong Kong and overseas.
The bank also plans to use HKDAP for intragroup settlements across its broader banking network in the near term. Such applications could allow funds to move between entities more efficiently while keeping transactions within a regulated stablecoin framework.
Standard Chartered Hong Kong CEO Mary Huen said the bank has seen considerable interest from clients looking at how HKDAP could be used in their businesses since Anchorpoint received its stablecoin issuer license.
The bank expects HKDAP to support several areas of institutional finance, including payments, settlement and treasury management. Eligible clients will also gain access to the stablecoin through a regulated banking channel rather than relying exclusively on crypto-native platforms.
Anchorpoint Financial was created as a joint venture between Standard Chartered's Hong Kong operation, telecommunications company HKT and Web3 investment firm Animoca Brands. Standard Chartered is the venture's largest shareholder, while Anchorpoint Financial operates as the licensed stablecoin issuer.
The partners first announced plans for an HKD-backed stablecoin in February 2025 after taking part in the Hong Kong Monetary Authority's stablecoin issuer sandbox, which began in July 2024. They formally established Anchorpoint Financial in August 2025 as they moved toward securing regulatory approval.
Hong Kong has since established a formal regulatory framework for stablecoins. The city's Stablecoins Ordinance came into force on Aug. 1, 2025, with the Hong Kong Monetary Authority subsequently introducing supervisory requirements and a public register for licensed issuers.
On April 10, the HKMA granted its first stablecoin issuer licenses to Anchorpoint Financial and the Hong Kong banking arm of HSBC. Licensed issuers are required to meet regulatory standards covering areas such as reserve assets, redemption arrangements, governance and anti-money laundering controls.
With Standard Chartered now distributing HKDAP, the stablecoin is moving beyond its initial Web3 testing phase and into potential institutional banking applications. The planned money market fund settlements in the fourth quarter could provide an early test of how regulated stablecoins can connect tokenized financial products with established banking infrastructure.