According to Bloomberg, Hong Kong's Alternate Chief Executive has expressed interest in exploring the diverse applications of stablecoin. These applications range from wholesale and retail markets to tokenization, exchange trading settlement, and addressing issues in overseas remittance. The city is eager to put these potential uses into real-world practice with potential issuers.
Hong Kong is making efforts to establish a digital-asset hub, aiming to restore its reputation as a financial center. This initiative began last year and has seen significant progress. ZA Bank, one of the eight virtual banks licensed in Hong Kong, has been instrumental in this development.
However, as of 2022, all eight licensed virtual banks in Hong Kong are operating at a loss, according to their annual reports. Despite this, ZA Bank has plans to break even this year, as stated by the Alternate Chief Executive.
