HSBC has unveiled the official name of its planned Hong Kong dollar stablecoin: HSBC RedCoin. The bank says the token will initially target everyday payments, with person-to-person (P2P) transfers and person-to-merchant (P2M) transactions available through HSBC-controlled retail channels such as PayMe and the HSBC HK Mobile App. HSBC emphasized that RedCoin has not yet been issued and warned customers about fraudulent tokens purporting to use its name.
HSBC released results of a survey of 1,060 Hong Kong customers showing 74% of respondents could identify at least one stablecoin use case. Among those surveyed, 57% associated stablecoins with digital asset trading and tokenized investments, 53% with P2P transfers, and 52% each with cross-border remittances and merchant payments. The poll found 60% correctly defined a stablecoin as a fiat-backed digital asset, while 26% mistakenly believed stablecoins are government-issued and 10% thought they are interest-bearing—an attribute HSBC noted is not included in Hong Kong’s current regulatory framework. Respondents prioritized regulatory clarity (62%), education (55%), fraud protection (53%), easy conversion to cash (51%) and transparency over reserves (39%). HSBC said it will publish educational material through its apps, website and social media focusing on scam prevention and transparent redemption mechanisms.
The RedCoin rollout follows Hong Kong’s new licensing framework for fiat-referenced stablecoins. The Hong Kong Monetary Authority granted licenses on April 10 to HSBC and Anchorpoint Financial under the Stablecoins Ordinance, which took effect Aug. 1, 2025 and sets requirements for reserve quality, liquidity, segregation, redemption arrangements, independent attestation and disclosure. Anchorpoint has already begun a phased rollout of its HKDAP stablecoin in August to institutional distributors and professional investors for payments, fiat conversion and tokenized asset settlement. HSBC’s announced starting point centers on consumer payments, with corporate and institutional applications expected later, though no exact launch date, blockchain network or public token contract address has been disclosed. Separately, HSBC UK and six other major UK banks have been testing tokenized commercial bank money in live customer transactions under the Great British Tokenised Deposit initiative to explore programmable payments and settlement improvements.