HSBC’s Hong Kong dollar stablecoin, RedCoin, has launched, but you can’t withdraw it to your own on-chain wallet, and you can’t buy it on exchanges either.
#Stablecoins
According to HSBC Hong Kong’s official announcement on October 23, RedCoin (ticker: RCHKD) operates under stablecoin issuer licence No. FRS02 issued by the HKMA. In its first phase, it’s available only on PayMe, where more than 3.3 million users can use it to transfer money and pay at over 100,000 merchants. The wallet in the HSBC HK App is expected later this year.
The FAQ on the official website puts it plainly: RedCoin runs on HSBC’s own DLT network, and transfers aren’t possible between the PayMe and HSBC App wallets. It’s available only through these two official channels, and isn’t offered via any third-party platform.
So if you see “HSBC stablecoin” on any blockchain or small platform these days, you can pretty much assume it’s a scam.
According to the daily circulation disclosures on the official website, as of October 25, 80,814,137.65 Hong Kong dollars were in circulation. That’s an increase of 79,545,968.29 Hong Kong dollars in seven days, but still a small amount in the Hong Kong dollar market.
I actually think this version of RedCoin is more like PayMe with a new backend. It’s still a step removed from crypto money. What’s really worth waiting for is whether it can later be used to subscribe to tokenized units of HSBC’s Hong Kong dollar money market fund.
#Stablecoins
According to HSBC Hong Kong’s official announcement on October 23, RedCoin (ticker: RCHKD) operates under stablecoin issuer licence No. FRS02 issued by the HKMA. In its first phase, it’s available only on PayMe, where more than 3.3 million users can use it to transfer money and pay at over 100,000 merchants. The wallet in the HSBC HK App is expected later this year.
The FAQ on the official website puts it plainly: RedCoin runs on HSBC’s own DLT network, and transfers aren’t possible between the PayMe and HSBC App wallets. It’s available only through these two official channels, and isn’t offered via any third-party platform.
So if you see “HSBC stablecoin” on any blockchain or small platform these days, you can pretty much assume it’s a scam.
According to the daily circulation disclosures on the official website, as of October 25, 80,814,137.65 Hong Kong dollars were in circulation. That’s an increase of 79,545,968.29 Hong Kong dollars in seven days, but still a small amount in the Hong Kong dollar market.
I actually think this version of RedCoin is more like PayMe with a new backend. It’s still a step removed from crypto money. What’s really worth waiting for is whether it can later be used to subscribe to tokenized units of HSBC’s Hong Kong dollar money market fund.