HSBC launches ‘RedCoin’ stablecoin on PayMe, plans wallet rollout
HSBC has launched its first stablecoin, 'HSBC RedCoin', on its PayMe platform, benefiting over 3.3 million users for peer-to-peer and merchant payments. The bank plans to add stablecoin wallet functionality to its mobile app by year-end, enabling tokenized investment products including a share class
HSBC announced on Friday that its first stablecoin, “HSBC RedCoin,” is now available on its PayMe platform, giving more than 3.3 million PayMe users the ability to send payments to friends and merchants using the digital token. The stablecoin is designed to be redeemable 1:1 for Hong Kong dollars, according to the bank.
PayMe users can activate a stablecoin wallet within the app and use it for peer-to-peer payments, sending stablecoins instantly to friends and family, as well as for peer-to-merchant payments at more than 100,000 merchants. HSBC said it will also add stablecoin wallet functionality to the HSBC HK Mobile Banking App later this year, enabling customers to subscribe to tokenized investment products, including a soon-to-be-launched share class of HSBC’s long-running HKD money market fund.
John O’Neill, managing director of digital assets and currencies at HSBC, said the bank plans to add more products soon, including expanding into wholesale corporate and institutional use cases. HSBC Digital Assets Custody provides safekeeping services for HSBC RedCoin.
To celebrate the launch, HSBC said it will offer exclusive PayMe transaction discounts alongside RewardCash. The bank noted that over recent months it has worked closely with regulators and prospective users, with staff pilots involving nearly 100 users testing the full customer journey from minting and wallet activation to live transfers.
