Animoka, a standard chartered group at the HKMA stablecoin sandbox

A day after the end of the consultation period on stablecoin issuing regulations, the Hong Kong Monetary Authority (HKMA) announced the first participants in the stablecoin issuing sandbox. They are a major Chinese e-commerce retailer, a domestic fintech and a company linked to a consortium of Standard Chartered Bank, Animoka Brands and Hong Kong Telecommunications.

The participants will go through a review process as the prospective stablecoin users test their business plans and discuss the proposed regulatory system with regulators. They are prohibited from soliciting or soliciting public funds for sandbox-related activities. Daryl Chan, Deputy Chief Executive of the HMA, commented on the sandbox where he wrote:

“It is important to provide concrete use cases for statcoin to help solve pain points in economic activity and create value and new opportunities for our economy and financial services.”

Animoka Brands collaborates with leading local companies.

Hong Kong-based Web3 software developer and venture capital firm Animoka Brands Animoka, Standard Chartered Bank (Hong Kong) and HK Telecom emphasized their mutual interest in developing Hong Kong's digital asset ecosystem and its applications in the real world.

Animoka's statement mentions that the alliance uses Zodia's protection service. Zodia Storage, which is majority owned by the bank and offers cold storage of digital assets, launched in Hong Kong in October.

Local tech companies want to invest in a stable coin

Jingdong Coinlink Technology Hong Kong is another participant in the stablecoin sandbox. Jingdong is an e-commerce retailer operating as JD.com in China. In 2018, he created a blockchain arm.

The latest participant RD InnoTech is part of RD Technologies. That company intends to “test various issues such as digital asset trading and cross-border trade payments in the Hong Kong dollar stablecoin “HKDR”,” he said. HKDR is described as “coming soon” on the company's website.

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RD Technologies develops an application with financial institutions called RD ezLink that allows companies to create an electronic wallet for fiat currencies and a verified business profile.

The HKMA and the Financial Services and Treasury Bureau released proposed regulations for stablecoin issuers on July 7.

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