Hong Kong’s monetary authority has warned that payment platforms operating without required licenses may face enforcement action. Between January 2024 and September 2026, the Hong Kong Monetary Authority recorded 16 complaints concerning suspected unlicensed stored value services, and investigators confirmed one case, according to a written response delivered to the Legislative Council on Oct. 7. The response, prepared after consultation with the Hong Kong Monetary Authority and the Customs and Excise Department, stated that regulators would intervene directly where suspected breaches of payment legislation occurred and could refer matters to law enforcement. Under Hong Kong’s Payment Systems and Stored Value Facilities Ordinance, operating a stored value facility without a license is an offense unless a statutory exemption applies. The authority identified multipurpose prepaid cards and electronic wallets as examples of facilities that require licensing, while single-purpose facilities used solely to purchase goods or services from their issuer are exempt. Licensed operators must display a unique license number in a public register, and the HKMA advises users to verify this information before engaging with a provider. For platforms offering currency exchange or cross-border remittance, separate approvals under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance are required, with enforcement actions possible for violations. During license reviews, both the Hong Kong Monetary Authority and Customs and Excise Department assess applicants’ competence, integrity, and ability to operate fairly, with requirements covering customer due diligence, record keeping, and proper handling of client funds. The government’s statement followed a question from lawmaker Chan Chun-ying, who raised concerns about payment aggregators attracting small merchants through low fees and buy now, pay later offers, citing reports of payment defaults and false transactions that had caused merchant losses. He also highlighted risks associated with platforms registered only as financial technology companies, without financial services licenses or public disclosures about their partners and operations. In a related development, crypto.news reported on Aug. 12 that Anchorpoint had initiated a phased rollout of its HKDAP system for institutional distributors and professional investors, focusing on cross-border payments, fiat conversion, and settlement of tokenized real-world assets. Authorized distributors would facilitate conversion between HKDAP and conventional currencies for approved users, with HashKey Exchange confirming participation in the network and completion of its first HKDAP minting and redemption transaction. Anchorpoint, backed by Standard Chartered, HKT, and Animoca Brands, had received an HKMA stablecoin issuer license in April alongside HSBC. Earlier, a June 27 report detailed Hong Kong’s stablecoin supervision requirements, citing a Legislative Council response indicating that licensed issuers must hold eligible reserves, including bank deposits and high-quality liquid debt securities, which must be placed with Hong Kong banks. The Hong Kong Monetary Authority may impose additional requirements as warranted, and has previously issued guidance letters to unregulated stablecoin providers outlining their legal obligations, with cases potentially referred to police or the Department of Justice depending on circumstances. For U.S.-based users evaluating digital asset providers, the Financial Crimes Enforcement Network has warned that money services business registration does not constitute approval or legitimacy, and that scammers may misuse appearances in public databases to claim regulatory endorsement. The agency emphasized that such registrations do not certify a company’s operations and that state or territorial licensing requirements often apply where services are offered.