Standard Chartered (LON:STAN) Bank (Hong Kong) Limited (SCBHK), Animoca Brands Corporation Ltd, and HKT have partnered to participate in the Hong Kong Monetary Authority (HKMA) stablecoin issuer Sandbox, announced in March this year.
The collaboration will use the institutional digital asset custody capabilities of Zodia Custody, partly owned by Standard Chartered.
The three companies aim to foster a sustainable, transparent and risk-managed digital asset market in Hong Kong and globally. Their joint efforts to explore stablecoin's potential in financial and payments markets are expected to support Hong Kong's development into a global digital asset hub.
"Standard Chartered is committed to staying at the forefront of the growing digital asset market and driving fintech innovation in Hong Kong,” Standard Chartered Head of Digital Assets and Fintech, Hong Kong Dominic Maffei said.
“We believe that regulated financial institutions have a key role to play in the development of these markets. Under the guidance of the HKMA, we are proud to take part in the Sandbox with innovative industry leaders, Animoca Brands and HKT, to transform the financial sector and create positive impact for our clients."
Growing digital asset ecosystem
As a leading international bank in Hong Kong, Standard Chartered Bank Hong Kong (SCBHK) is eager to participate in the Sandbox initiative. The bank aims to support the burgeoning digital asset ecosystem in Hong Kong while gaining a deeper understanding of the opportunities and risks posed by the evolving stablecoin market.
This initiative aligns with Animoca Brands' vision of promoting mass adoption of digital assets and applying blockchain-related technology solutions to real-world assets and traditional economies.
Animoca Brands group president Evan Auyang said, "Animoca Brands is excited to partner with two of the most established and respected companies in Hong Kong to participate in the Sandbox. As a global Web3 ecosystem builder based in Hong Kong, we are excited about the mass adoption of digital assets via stablecoins issued under the HKMA's proposed stablecoin issuer regime, and we are delighted to explore opportunities and new ways to innovate through the Sandbox."
HKT, a prominent technology, media and telecommunication company, is committed to exploring innovations within the Sandbox. The company seeks to understand how stablecoin can enhance domestic and cross-border payments, ultimately providing greater benefits to consumers and merchants.
"HKT promotes fintech and digital economy through our consumer and merchant payment solutions. We are delighted to explore the immense potential of stablecoins in revolutionising payment systems. By facilitating efficient and seamless payment solutions, it paves the way for digital transformation and Web3 development in Hong Kong," HKT CEO of Digital Ventures Monita Leung said.