Ant Group Applies for Hong Kong Stablecoin License: A New Chessboard for Global Payments of China's Tech Giant

On June 12, Bloomberg reported that Ant International, the international business unit of Ant Group supported by Jack Ma, plans to apply for stablecoin issuance licenses in Hong Kong and Singapore, marking a further acceleration of the Chinese fintech giant's strategic layout in the global stablecoin market.

Ant International responded by stating that it will submit a license application as soon as the Hong Kong "Stablecoins Ordinance" comes into effect on August 1, while also accelerating investment and cooperation in the global financial management sector, applying AI, blockchain, and stablecoin technology to large-scale real-world scenarios.

Hong Kong and Singapore: New High Grounds for Stablecoin Compliance

As an international financial center, Hong Kong has been active in the field of digital asset regulation in recent years.

On May 21, 2025, the Hong Kong Legislative Council passed the "Stablecoin Regulation Bill," which officially came into effect on May 30 and became the world's first comprehensive regulatory framework for fiat stablecoins. The regulation requires that any stablecoin issued in Hong Kong that is pegged to the Hong Kong dollar or any fiat currency, or any stablecoin issued globally that claims to be linked to the Hong Kong dollar, must apply for a license from the Hong Kong Monetary Authority (HKMA) and comply with strict reserve asset management, customer asset segregation, and redemption mechanism requirements.

Hong Kong's regulatory framework provides a clear compliance path for the stablecoin market and creates a conducive environment for the standardized development of financial technology companies such as Ant International. Ant International has explicitly stated its support for this initiative from the Hong Kong Legislative Council, viewing it as an important opportunity to help Hong Kong build a future international financial center.

As another financial hub in Asia, Singapore is also a target for Ant International.

It is reported that Ant International is headquartered in Singapore, and its layout in the local area is closely related to Singapore's mature cryptocurrency regulatory environment. The Monetary Authority of Singapore (MAS) has provided a clear regulatory framework for digital payment token services through the Payment Services Act (PSA), requiring relevant companies to apply for licenses and comply with anti-money laundering (AML) and counter-terrorism financing (CTF) regulations. Ant International plans to apply for a stablecoin license in Singapore, demonstrating its confidence in the region's regulatory maturity and market potential.

It is noteworthy that Ant International also plans to seek permission in Luxembourg to further expand its stablecoin business in Europe. This multi-point layout strategy indicates that Ant is building a stablecoin ecosystem covering the markets of Asia, Europe, and America through a compliance path in major global financial centers.

Domestic enterprises' stablecoin layout: from sandbox testing to global competition

Ant Group is not the only company in China to layout the stablecoin market. JD Coinlink was selected as one of the first participants in the Hong Kong Monetary Authority's "Stablecoin Issuer Sandbox" as early as July 2024. Its developed Hong Kong dollar stablecoin JD-HKD has entered the second phase of sandbox testing, focusing on scenarios such as cross-border payments, investment transactions, and retail payments. Liu Peng, CEO of JD Coinlink, stated that the company is closely cooperating with the Hong Kong Monetary Authority and other regional regulatory agencies to promote the global compliance development of stablecoin business.

In addition, other domestic enterprises are also actively exploring stablecoin-related fields. Palmfun Technology's Ann Group, with Standard Chartered Bank and Hong Kong Telecom, cooperated to develop the Hong Kong dollar stablecoin HKDG; Sifang Jingchuang developed a stablecoin cross-border clearing system for HSBC and Standard Chartered; Hanbao shares provide a hardware security module that supports stablecoin wallets. These actions show that domestic enterprises have formed a multi-level layout in the fields of stablecoin technology, infrastructure and compliance services.

Compared to international giants, domestic companies still have a gap in scale and influence in the stablecoin market.

As of May 2025, the total market value of global stablecoins has exceeded $250 billion, an increase of over $40 billion compared to the end of 2024. Among them, USDC issued by Circle has become the second-largest dollar stablecoin in the world and will be listed on the New York Stock Exchange in June 2025, becoming the first IPO company in the stablecoin sector. If domestic companies want to secure a place in this track, they need to continuously focus on technological innovation, scenario applications, and global compliance.

The Strategic Value of Stablecoins: Reshaping Cross-Border Payments and Treasury Management

According to informed sources, Ant Group is expected to handle over $1 trillion in global transactions in 2024, with one-third completed through its blockchain-based Whale platform. Stablecoins serve as a bridge between traditional finance and digital assets, significantly reducing cross-border payment costs and enhancing efficiency.

Data shows that the cost of stablecoin cross-border payments is only 1/10 of the traditional SWIFT system, with a single transaction arrival time of less than 1 minute. In markets like Nigeria and Peru, the volume of stablecoin cross-border remittances has surpassed that of traditional banking channels.

Ant Group Vice President and President of Ant Digital Technology's Blockchain Business, Bian Zhuoqun, further pointed out that the core value of stablecoin lies in scenario expansion and compliance construction. Ant Digital Technology has established Hong Kong as its global headquarters and has completed preliminary trials in a regulatory sandbox, planning to build digital trading scenarios through stablecoins to promote the development of new asset classes. Some analysts believe that Ant International's stablecoin license application may be related to its long-term strategy for seeking an IPO in Hong Kong. Previously, Ant Group planned to go public in 2020 but was stalled due to regulatory reasons.

Challenges and Prospects: Balancing Compliance and Innovation

Although the stablecoin market has a bright future, domestic enterprises still face multiple challenges in their global layout.

Regulatory uncertainty. The regulatory frameworks in Hong Kong and Singapore are relatively mature, but the regulatory details in European markets such as Luxembourg have not yet been fully clarified, which may increase compliance costs.

Technical and security risks. Stablecoins must ensure a 1:1 reserve asset peg and address potential vulnerabilities in the blockchain network, which raises higher requirements for the company's technical capabilities and risk control systems.

As international competition intensifies, leading players such as Circle and Tether have dominated the market, and domestic companies need to find breakthroughs in differentiated scenarios and localized services.

Looking ahead, stablecoins will play a greater role as an important infrastructure for digital finance in global payments, DeFi, and supply chain finance.

As Bian Zhuoqun said, "Stablecoins are the intersection of technology and industry," and their development will profoundly impact the future financial landscape.