Key News to Watch From Asian Markets for Crypto Investors
In this article (10)
In Asia, 2026 has been a year for crypto regulators more than for price charts. Bitcoin still trades well below the record it set in October 2025, yet across Hong Kong, Tokyo, Singapore and Seoul, officials have spent the year turning long-promised frameworks into working rules.
Hong Kong Takes Stablecoins From Statute to Checkout
For anyone following digital assets on a crypto trading platform, these announcements are worth noting. They decide who can issue a digital asset and how gains are taxed. Several of the most consequential decisions are due before the year closes.
Hong Kong’s Stablecoins Ordinance came into force in August 2025, and the Hong Kong Monetary Authority received 36 licence applications. It approved two. In April, HSBC and Anchorpoint Financial, a joint venture of Standard Chartered, HKT and Animoca Brands, became the first names on the HKMA’s register of licensed stablecoin issuers, a list the regulator urges the public to check before trusting any token claiming local approval.
Anchorpoint moved first. Its HKDAP token went live in August for institutions, corporates and professional investors through authorised distributors, with retail access pencilled in for as early as the end of 2026, subject to market conditions.
The more consumer-facing launch belongs to HSBC, which had said it planned a Hong Kong dollar stablecoin for the second half of 2026. In late September the bank confirmed the token will be called HSBC RedCoin, with person-to-person transfers and merchant payments through PayMe as the opening use cases. PayMe already serves more than 3.3 million users, so the rollout could put regulated stablecoins in front of everyday shoppers far faster than any exchange listing.
The RedCoin launch date is worth marking. A smooth debut would strengthen the case that bank-issued tokens can sit alongside established global stablecoins, while a delay would suggest the HKMA’s cautious sequencing has further to run.
Japan Rewrites Its Rulebook on Tax and Trading
In mid-July, Japan’s parliament gave final approval to amendments that move crypto assets out of the Payment Services Act and into the Financial Instruments and Exchange Act, the framework that governs equities and bonds. The law introduces insider trading prohibitions for crypto markets and lays the groundwork for regulated exchange-traded products.
For individuals, the headline is tax. Gains are currently treated as miscellaneous income and taxed at rates of up to 55 per cent. Under the government’s tax reform outline, qualifying crypto assets will move to a flat 20 per cent, split between national and local tax, with a three-year loss carry-forward. That would put crypto on the same footing as listed shares and ETFs.
“Most observers expect the lower rate to arrive in 2028, which makes that order the announcement Japanese investors should watch most closely.”
The new rate won’t apply immediately, though. It only takes place from the start of the calendar year after the amended law takes effect, and the commencement date still awaits a cabinet order. Most observers expect the lower rate to arrive in 2028, which makes that order the announcement Japanese investors should watch most closely.
Singapore Draws a Line Around the Word “Stablecoin”
At the start of September, the Monetary Authority of Singapore published draft amendments to the Payment Services Act that would write its stablecoin framework into law. The proposals create a dedicated stablecoin issuance licence, bar licensed issuers from paying holders interest, and open a route for a limited number of well-regulated foreign stablecoins to gain recognition.
One proposal could change what retail customers see on their screens. Licensed digital payment token providers would face limits on marketing tokens that are not MAS-regulated to retail clients as “stablecoins”. The consultation closed in mid-October, so the regulator’s response, followed by a separate consultation on detailed subsidiary rules, will show how quickly the regime becomes operational.
Seoul Edges Toward a Won Stablecoin Decision
South Korea remains the region’s unresolved case. Its Digital Asset Basic Act, intended as the second phase of the country’s crypto legislation, stalled in late 2025 over who should be allowed to issue won-pegged stablecoins, with the Bank of Korea favouring bank-led issuers.
At a parliamentary audit in early October, Financial Services Commission chairman Lee Eok-won said the framework had been drafted and was in final coordination, although no submission date or issuer model was confirmed. Lawmakers are pushing for speed. Democratic Party lawmaker Lee Kang-il claimed that Korea already hosts 54 per cent of yen-denominated stablecoin trading, despite having no won equivalent of its own.
Given the scale of Korea’s retail trading community, a bill finally reaching the National Assembly would be among the clearest regional signals of the quarter.
Final Thoughts on What This Means for Investors in the Months Ahead
None of these announcements will move prices on its own. Macro conditions still dominate, and the US Federal Reserve’s late-October decision will weigh on crypto alongside bond yields and energy prices. The regulatory calendar, however, offers a practical checklist: the RedCoin launch and Anchorpoint’s retail phase in Hong Kong, the cabinet order fixing Japan’s start date, the MAS consultation response and the fate of Korea’s bill.
Asia is building regulated channels for digital assets, and the stablecoin, once a niche trading tool, is being repositioned as everyday payment infrastructure. Investors who check primary sources and treat timelines as provisional until confirmed will be better placed than those trading on headlines alone.
Questions & Answers
Q.How will retail consumers in Hong Kong be able to use HSBC’s new stablecoin?
How will retail consumers in Hong Kong be able to use HSBC’s new stablecoin?
HSBC plans to roll out its HSBC RedCoin token for person-to-person transfers and merchant payments through PayMe, an app serving more than 3.3 million users. This setup allows everyday shoppers to access regulated stablecoins directly rather than having to use an exchange.
Q.How will Japan’s new regulatory framework change the tax rate on cryptocurrency gains?
How will Japan’s new regulatory framework change the tax rate on cryptocurrency gains?
Crypto gains will shift from miscellaneous income taxed at rates up to 55 per cent to a flat 20 per cent rate split between national and local tax. The reform also includes a three-year loss carry-forward, putting crypto assets on the same footing as listed shares.
Q.What changes are proposed for stablecoins under Singapore’s draft amendments?
What changes are proposed for stablecoins under Singapore’s draft amendments?
The proposals create a dedicated issuance licence, prohibit licensed issuers from paying interest to holders, and introduce a recognition route for certain foreign stablecoins. Also, licensed providers would face limits on marketing tokens not regulated by the Monetary Authority of Singapore to retail clients as stablecoins.
Q.Why has South Korea’s Digital Asset Basic Act been delayed?
Why has South Korea’s Digital Asset Basic Act been delayed?
Progress stalled in late 2025 due to disagreements over who should be permitted to issue won-pegged stablecoins, with the central bank favouring bank-led issuers. A draft framework is undergoing final coordination, but officials have not yet confirmed a submission date or an issuer model.
Reader pulse
Will bank-backed stablecoins gain mass adoption at Asian checkouts?
22,396 votes so far