Standard Chartered becomes first bank distributor of HKD stablecoin
The bank plans tokenized money market fund settlements in the fourth quarter as HKDAP expands its phased rollout into conventional banking.
Standard Chartered has issued a $200 million three-year floating-rate digitally native note, becoming the first Global Systemically Important Bank and UK issuer to do so on Euroclear's Digital Financial Market Infrastructure.
The bank is also planning to use a Hong Kong dollar-backed stablecoin, HKDAP, for tokenized money market fund settlements in the fourth quarter. Standard Chartered Bank (Hong Kong) is the first bank authorized to distribute HKDAP, and it is engaging with eligible institutional clients and partners on various uses, including tokenized fund settlements and cross-border payments.
According to SCBHK CEO Mary Huen, the bank's distribution of HKDAP could support payments, settlement, and treasury management for eligible clients. The bank intends to use the stablecoin in intragroup settlements across its banking network in the near term and introduce new commercial applications over the coming months, as per Finextra and Cointelegraph.
Brief written by urgent.news from Finextra, Cointelegraph — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.
