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HashKey to use Hong Kong dollar stablecoin HKDAP for UAE trade
HKDAP is also set to be used to pay commercial insurance premiums, after Hong Kong granted only two stablecoin issuance licenses under its regulatory framework.
CoinDesk reports that HashKey Exchange, Hong Kong's largest crypto exchange, will use HKDAP, the city’s first regulated Hong Kong dollar-pegged stablecoin, to settle cross-border trade with the United Arab Emirates and the wider Middle East following HKDAP’s debut six days ago.
The outlet said Hong Kong-UAE cross-border trade totaled $48.95 billion for all of 2025, nearly double the $24 billion Hong Kong recorded with the rest of the Middle East, and HashKey is aiming to position Hong Kong as an alternative settlement hub for that corridor.
CoinDesk added that HashKey plans to use HKDAP for commercial insurance premium payouts alongside OneDegree, after previously testing HKDAP for life insurance premium payments with insurer YF Life on Aug. 14.
HKDAP is issued by Anchorpoint Financial and is currently limited to institutional users, with retail access expected by the end of 2026, as Hong Kong authorized two stablecoin issuers and rejected 34 other applicants.