The Bank of East Asia plans to explore Hong Kong stablecoin payment use cases as a reserve bank and authorized mint

On December 12, the Bank of East Asia announced a partnership with Hong Kong fintech company IDA to explore the feasibility of widely adopting digital finance by pegging stablecoins to the Hong Kong dollar on a 1:1 ratio. It is reported that both parties will jointly explore an application case with a local payment network that can simplify payment processes and enhance user experience. The Bank of East Asia will act as a reserve bank and authorized minter to ensure compliance with regulatory frameworks while promoting fintech innovation. This collaboration aims to explore integrating stablecoins into payment and settlement infrastructure, driving local economy and improving business cash flow. Through this experiment, instant transactions are realized by introducing stablecoins, enhancing merchants' cash flow, providing 24/7 service at minimal transaction fees. (Hong Kong 01)