Caixin: Sources Say JD.com and Ant Group Unlikely to Appear on the First List of Stablecoin Licensees

According to a report by Jinse Finance, as disclosed by Caixin, a source close to stablecoin license applicants revealed that with the implementation of regulatory guidelines, the stablecoin boom in Hong Kong is expected to subside. This is particularly true for non-financial institution applicants whose main use case is cross-border payments, as they may voluntarily withdraw from early participation due to the difficulty of meeting regulatory requirements such as “verifying the identity of every token holder.” This also means that major internet platforms like JD.com and Ant Group, which were previously considered frontrunners, may find it difficult to appear on the list of the first batch of licensees. In addition, CITIC Group, through its Hong Kong subsidiary China CITIC Bank International, has teamed up with several institutions with the intention of applying for the first batch of stablecoin licenses. Industry insiders noted that Bank of China (Hong Kong) is one of the city’s three note-issuing banks, giving it a natural advantage if it issues stablecoins, and this could also reassure regulators in both jurisdictions.