TechFlow News: On March 17, according to Hong Kong’s Sing Tao Daily, Citigroup stated in its analytical report that, drawing on the experience of mainland Chinese payment institutions as a reference, user balances held by such institutions amount to approximately 20% of China’s circulating cash, 2.5% of its demand and savings deposits, and 0.8% of its total deposits. Based on this, Citigroup estimates Hong Kong’s stablecoin market size could reach USD 16 billion (approximately HKD 124.8 billion), with a potential fluctuation range of ±USD 8 billion. Should the monetary base continue expanding, overseas demand for Hong Kong-issued stablecoins increase, or on-chain activity surge, this market size could further expand—benefiting issuers, trading platforms, and payment companies alike.
Earlier reports indicated that the Hong Kong Monetary Authority (HKMA) may announce the first batch of stablecoin issuer licenses this month.
