Hong Kong's first regulated Hong Kong dollar stabilization currency (HKDAP) has been online for less than a week and has begun to enter the actual payment scene. HashKey Exchange will use this stable currency to settle cross-border trade with the UAE and the wider Middle East region and to pay commercial insurance premiums.

HKDAP into the payment scene

According to a statement issued on Monday, HashKey will work with OneDegree, the digital asset insurance agency, to pay commercial insurance premiums using HKDAP. Previously, HashKey had tested life insurance premiums with YF Life on August 14th.

This means that the use of HKDAP is moving from institutional pilot to more explicit commercial use. Trade settlements and insurance payments became the first landing scene after the stable currency went online.

Aim at UAE trade settlement

HashKey focused on cross-border settlements between Hong Kong and the UAE and the Middle East. Reports indicate that Hong Kong ' s cross-border trade with the United Arab Emirates totalled $48.95 billion in 2025, almost double the $24 billion in trade between Hong Kong and the rest of the Middle East.

  • Hong Kong trade with the UAE amounted to $48.95 billion
  • Hong Kong trade with the rest of the Middle East is $24 billion
  • HKDAP started limited distribution on August 12

In a market dominated by the dollar, Hong Kong would have an opportunity to strengthen its clearing role between Asia and the Middle East if it were to enter such trade flows.

The number of license plates is still limited.

The HKDAP, published by the Angelpoint Financial, is the first Hong Kong dollar-fixed stabilization currency in Hong Kong to be officially operational under the local regulatory framework. Currently, it is open only to institutional users, with retail users likely to have access at the earliest by 2026.

This post is part of our special coverage Hong Kong Telegraph and Animoca Brands. Hong Kong currently issues only two licence plates for stabilization currency and another is held by HSBC. According to reports, only two of the 36 applicants were finally approved.

Additional information:It was reported that HSBC plans launched the first round of relevant stabilization currency services for 3.3 million PayMe users later this year.