HSBC has launched RedCoin, the bank's first stablecoin pegged to the Hong Kong dollar, bringing the token to retail users through its PayMe payment platform starting Friday, October 23. The stablecoin, which carries the symbol RCHKD, is designed to hold the same value as the Hong Kong dollar, positioning it as a digital counterpart to the local currency for everyday payments.

The bank announced the launch in a statement published on its website. HSBC is one of three commercial banks in Hong Kong authorized to issue Hong Kong dollar banknotes. PayMe, the bank's mobile payments service, is widely used across Hong Kong for everyday transfers and purchases — an established consumer base the token can now reach directly inside an app many residents already use.

How RedCoin Will Work

According to HSBC, PayMe users will be able to switch on a stablecoin wallet inside the app in the coming days. Once activated, the wallet will support peer-to-peer transfers between users as well as payments to more than 100,000 merchants that accept PayMe. Because those merchants already take PayMe, RedCoin arrives with an established acceptance network in place from day one — a practical foundation for a token positioned for everyday payments.

Maggie Ng, HSBC's chief executive officer for Hong Kong, framed the launch as part of a broader shift in how money moves. "Money, assets and information are moving from traditional infrastructure to always-on, data-rich and increasingly programmable digital networks," she said.

John O'Neill, HSBC's managing director for digital assets and currencies, said the bank plans to roll out more products soon. He added that HSBC will expand into "wholesale corporate and institutional use cases," indicating that the retail launch is the first step in a longer product roadmapn

A Broader Digital Asset Agenda

RedCoin forms part of a wider push by HSBC into crypto and blockchain. The bank has participated in several initiatives run by the Hong Kong Monetary Authority, the city's de facto central bank, including the e-HKD pilot program, a central bank digital currency trial, and Project Ensemble. Both projects test how digital money could function in Hong Kong. Read alongside RedCoin, they show the bank working across retail digital money, wholesale payments and tokenized assets at the same time.

The lender also offers digital bonds for institutional investors through its HSBC Orion platform, gives retail clients access to the HSBC Gold Token, and operates the HSBC Tokenised Deposit Service for wholesale payments.

Hong Kong's Stablecoin Licensing Regime

Hong Kong has been working to establish itself as a crypto hub. Its Stablecoins Ordinance took effect in August 2025, creating the territory's licensing system for companies that issue stablecoins backed by government currencies, also known as fiat-referenced stablecoins.

In April 2026, the Hong Kong Monetary Authority issued its first stablecoin licenses, which went to HSBC and Anchorpoint Financial. Anchorpoint, a joint venture of Standard Chartered, HKT and Animoca Brands, began a phased rollout of its HKDAP stablecoin for institutions in August. The two inaugural licensees are taking different routes to market: while HKDAP is aimed at institutions, RedCoin puts a licensed Hong Kong dollar stablecoin directly into a consumer app.

RedCoin went live on PayMe on Friday. HSBC said the in-app wallet for transfers and merchant payments will open to users in the coming days — the next milestone to watch, ahead of the wholesale and institutional products O'Neill said are planned.