HSBC Rolls Out RedCoin HKD Stablecoin to 3.3M PayMe Users

HSBC is rolling out RedCoin (RCHKD), its first Hong Kong dollar-pegged stablecoin, to more than 3.3 million PayMe users. Starting this week, users can activate stablecoin wallets through the app and use RedCoin for transfers and merchant payments. The token is designed to be redeemable one-for-one for Hong Kong dollars, while HSBC Digital Assets Custody will provide safekeeping services.

The consumer launch comes nearly three months after Anchorpoint Financial introduced its HKDAP stablecoin through HashKey Exchange for eligible institutional and professional investors. HSBC received its stablecoin issuer license in April alongside Anchorpoint, a joint venture backed by Standard Chartered, Animosa Brands and HKT. The approvals marked the first licenses issued under Hong Kong’s stablecoin regulatory framework.

HSBC also plans to integrate RedCoin wallets into its HSBC HK Mobile Banking app later this year. Customers will be able to use the stablecoin to subscribe to tokenized investment products, including a new share class of HSBC’s Hong Kong dollar money market fund. The bank ultimately intends to extend RedCoin to wholesale corporate and institutional use cases.