HSBC Hong Kong launches Hong Kong dollar stablecoin RedCoin, with the first batch covering 3.3 million PayMe users.

According to a report by the South China Morning Post, HSBC will roll out its Hong Kong dollar stablecoin, HSBC RedCoin, in phases starting October 23, with the first batch targeting over 3.3 million users of Hong Kong’s payment app PayMe. Initially, RedCoin will only be accessible via PayMe and HSBC Hong Kong’s mobile banking app, supporting peer-to-peer transfers between PayMe users and payments to merchants. Users can activate their RedCoin wallets after updating the apps, with no minimum balance requirement or additional account needed. Lawrence Li, head of HSBC PayMe, said the first phase focuses on ensuring service stability, avoiding adding operational burdens for users, and building trust. HSBC previously conducted an internal pilot involving nearly 100 employees to test the full user flow and system integration. The bank plans to fully integrate RedCoin into its Hong Kong mobile banking app by the end of the year, and support users in subscribing to tokenized asset products including money market funds, with a minimum investment of HK$100. John O’Neill, managing director of digital assets and currency at HSBC, noted that stablecoins enable instant settlement for tokenized funds, reducing the time required for traditional investment settlements and lowering investment barriers. The launch comes as Hong Kong accelerates the development of its digital asset market.