Alibaba founder Jack Ma seeks stablecoin licenses in Singapore and Hong Kong

Ant International, the Singapore-based fintech arm of Jack Ma’s Ant Group, is preparing to apply for stablecoin licenses in Singapore and Hong Kong, according to a Bloomberg report. The move signals a major step toward institutional adoption of regulated digital payment systems in two of Asia’s leading financial hubs.

With Hong Kong’s new stablecoin regulations set to take effect in August, Ant International is looking to position itself as an early mover in the licensed stablecoin space. The company is also reportedly considering similar licensing efforts in Singapore and Luxembourg, further expanding its blockchain-powered financial services.

Why stablecoin licenses in Singapore and Hong Kong could be a mojo

The push for stablecoin licenses in Singapore and Hong Kong comes as global regulators tighten oversight of digital assets. Hong Kong recently passed its Stablecoin Ordinance, which mandates that issuers obtain approval from the Hong Kong Monetary Authority (HKMA). Non-compliance could result in fines of up to $640,000, underscoring the city’s commitment to a regulated crypto market.

Singapore, meanwhile, has maintained a cautious yet progressive stance on stablecoins, requiring issuers to meet strict reserve and transparency rules. Ant International aims to strengthen its cross-border payment infrastructure by securing stablecoin licenses in Singapore and Hong Kong, while complying with evolving regulatory frameworks.

Ant Group’s blockchain ambitions take shape

Ant International’s interest in stablecoin licenses in Singapore and Hong Kong aligns with its broader blockchain strategy. The firm already processes a significant portion of its $1 trillion annual transactions through its blockchain-based Whale platform, which supports Alibaba’s e-commerce operations.

In December 2024, Ant Digital, another Ant Group affiliate, partnered with Sui blockchain to tokenize real-world assets, particularly in the ESG (environmental, social, and governance) sector. The move toward stablecoin licenses in Singapore and Hong Kong suggests Ant is doubling down on blockchain-powered financial solutions.

Stablecoins: The next trillion-dollar crypto catalyst?

The timing of Ant International’s licensing push coincides with a surge in stablecoin adoption. The total market capitalization of stablecoins recently hit an all-time high of $250 billion, according to DefiLlama. Analysts predict the sector could surpass $1 trillion by 2025, driven by institutional demand for fast, low-cost settlements.

David Pakman, managing partner at CoinFund, believes stablecoins will be the “missing catalyst” for mass crypto adoption.

“This is the major movement we’ve been waiting for, people’s wealth moving onchain, bringing everyone else with it,” Pakman said during a recent interview with journalists.

Ant International could play a key role in bridging traditional finance and decentralized ecosystems by securing stablecoin licenses in Singapore and Hong Kong.

What’s next for stablecoin regulation?

As Ant International navigates the application process for stablecoin licenses in Singapore and Hong Kong, other fintech giants are likely to follow. Hong Kong’s new rules, effective August 2024, will set a precedent for other jurisdictions considering stablecoin frameworks.

Singapore, meanwhile, continues to refine its Payment Services Act, ensuring that stablecoin issuers maintain 1:1 reserves and regular audits. The competition for stablecoin licenses in Singapore and Hong Kong highlights the growing importance of regulated digital currencies in global finance.

With Ant Group’s vast Alipay network, serving 1.3 billion users and 80 million merchants, the company is well-positioned to drive mainstream stablecoin adoption. If successful, its licensing efforts could accelerate the convergence of traditional finance and blockchain technology.