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Hong Kong’s first officially approved HKD-backed stablecoin, HKDAP, completed a live transfer test on Ethereum involving three licensed firms. The stablecoin is pegged 1:1 to the Hong Kong dollar and is expected to be issued in phases by the end of Q2 2026. This move by Hong Kong aims to create a compliant alternative to offshore dollar-pegged stablecoins and provide regulatory clarity in the stablecoin market.
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