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HashKey Exchange to Use Hong Kong's First Regulated Stablecoin for Trade Settlements

Created at 18 Aug · 2:41 PM1 source↑ Market-relevant
IN SHORT

HashKey Exchange will utilize HKDAP, Hong Kong's first regulated Hong Kong dollar-pegged stablecoin, for cross-border trade settlements with the UAE and Middle East, and for insurance premium payouts. The stablecoin, issued by Anchorpoint Financial, is currently for institutional use and aims for retail access by late 2026.

Key Numbers

$48.95 billionHong Kong-UAE cross-border trade in 2025
$24 billionHong Kong-Middle East cross-border trade in 2025

Who's Involved

HashKey Exchange
Hong Kong's largest cryptocurrency exchange using HKDAP
HKDAP
Hong Kong's first regulated Hong Kong dollar-pegged stablecoin
Anchorpoint Financial
Issuer of HKDAP, backed by Standard Chartered, HKT, and Animoca Brands
OneDegree
Digital asset insurer partnering with HashKey for premium payouts
YF Life
Insurer previously tested with HKDAP for life insurance premiums
HashKey Exchange to Use Hong Kong's First Regulated Stablecoin for Trade Settlements

↳ Why This Matters

The introduction and adoption of HKDAP for trade and insurance settlements signifies a step towards establishing Hong Kong as a regulated digital asset hub and an alternative settlement corridor between Asia and the Middle East, potentially impacting global stablecoin usage and cross-border financial flows.

Key facts

  • HashKey Exchange will use HKDAP, Hong Kong's first regulated stablecoin, for cross-border trade settlements.
  • The stablecoin will facilitate trade with the UAE and the wider Middle East region.
  • HKDAP will also be used for commercial insurance premium payouts.
  • HKDAP is issued by Anchorpoint Financial, a venture backed by Standard Chartered, HKT, and Animoca Brands.
  • The stablecoin is currently limited to institutional users, with retail access expected by late 2026.

HashKey Exchange is set to utilize HKDAP, Hong Kong's inaugural regulated Hong Kong dollar-pegged stablecoin, for settling cross-border trade transactions with the UAE and the broader Middle East region. This move follows the stablecoin's recent debut and aims to position Hong Kong as a key settlement hub between Asia and the Middle East.

The exchange will also leverage HKDAP for commercial insurance premium payouts in partnership with digital asset insurer OneDegree. Previously, HashKey conducted a successful test of HKDAP for life insurance premium payments with insurer YF Life.

HKDAP is issued by Anchorpoint Financial, a venture supported by Standard Chartered, HKT, and Animoca Brands. The stablecoin was initially rolled out for institutional users on August 12 and is anticipated to become available to retail customers by the end of 2026. Hong Kong's financial authority has maintained strict regulatory controls, granting only two stablecoin issuance licenses.

Frequently asked questions

HKDAP is Hong Kong's first regulated Hong Kong dollar-pegged stablecoin, issued by Anchorpoint Financial.

HashKey Exchange will use HKDAP to settle cross-border trade transactions with the UAE and the wider Middle East region.

Retail access to HKDAP is expected by the end of 2026.

Hong Kong's financial authority has authorized two stablecoin issuers and rejected 34 other applicants.

What Happens Next

01HKDAP to open to retail customers by the end of 2026.

How It Developed

Hong Kong's financial authority authorized two stablecoin issuers and rejected 34 applicants.
HashKey Exchange will use HKDAP for cross-border trade settlements with the UAE and Middle East.
HashKey Exchange will also use HKDAP for commercial insurance premium payouts with OneDegree.
HashKey previously tested HKDAP for life insurance premium payments with YF Life.
HKDAP, issued by Anchorpoint Financial, is Hong Kong's first regulated Hong Kong dollar-pegged stablecoin.
Anchorpoint Financial, backed by Standard Chartered, HKT, and Animoca Brands, launched HKDAP for institutional use on August 12.
Retail access to HKDAP is anticipated by the end of 2026.
Hong Kong aims to become an alternative settlement hub in Asia–Middle East trade.

Sources

T1
HashKey taps Hong Kong's first regulated stablecoin to settle insurance and trade dealsCoinDesk

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