Internet Giants Reportedly Withdrawing from Hong Kong Stablecoin Licenses

Major Chinese internet firms may exit cryptocurrency activities in Hong Kong, and central enterprises might bypass stablecoin license applications, according to reports dated September 11, 2025.

This could reshape Hong Kong’s financial landscape, with potential impacts on cryptocurrency markets and regulatory approaches amidst the absence of significant mainland China players.

Chinese Tech Giants Reduce Role in HK Crypto Market

Major Chinese internet firms, including Alibaba and Tencent, are reportedly reducing their involvement in Hong Kong’s cryptocurrency market. This move follows regulatory pressures and uncertainty which have intensified after the mainland’s crypto ban in 2021. According to PANews, there is a significant absence of Chinese companies from stablecoin license applications.

As of September 11, 2025, there are no quotes from top executives at Alibaba, Tencent, Baidu, Ant Group, or other major Chinese internet companies regarding their involvement or withdrawal from cryptocurrency-related business. Additionally, there are no official statements from regulatory bodies like the Hong Kong Monetary Authority or the People’s Bank of China addressing the absence of Chinese central enterprises from stablecoin licensing in Hong Kong. Therefore, it is not possible to provide quotes following the requested format, as no such statements exist in the available primary sources.

Market reactions have been muted as no significant funding withdrawals or public statements have emerged from these companies or affected bodies. While major exchanges in Hong Kong continue operations without any unusual activity, speculative discussions about the motivations behind this retreat persist.

Regulatory Uncertainty Clouds Hong Kong’s Crypto Future

Did you know? This isn’t the first regulatory hurdle the region’s crypto sector has faced. In 2021, China enforced a broad crypto ban, leading companies to explore blockchain innovations and digital yuan projects instead.

Ethereum (ETH) currently trades at $4,422.31, with a market cap of $533.79 billion and a 24-hour trading volume of $41.39 billion, as reported by CoinMarketCap on September 11. Despite recently gaining 2.13% within the last day, ETH’s price has seen marginal seven-day fluctuations while climbing by 74.77% over three months.

Experts foresee increased scrutiny on crypto regulation following these developments. While regulatory ambiguity persists in Hong Kong, the potential withdrawal of major players could spur new frameworks. Market conditions may remain uncertain until firms or authorities clarify their positions.