Peer-to-peer transfers and merchant transactions will be the primary focus of a new digital token launch in Hong Kong. HSBC, the city's largest bank and one of its three note-issuing banks, is releasing the asset as HSBC RedCoin to reach its 3.3 million PayMe users. The product will expand to support institutional and corporate clients after the initial consumer rollout.

A survey of more than 1,000 customers conducted by the bank showed 74% of respondents could identify at least one application for stablecoins. Digital-asset trading and tokenized investments ranked as the most popular use cases at 57%, followed by P2P transfers at 53%, while cross-border remittances and merchant payments each stood at 52%.