HSBC has introduced RedCoin (RCHKD), its first Hong Kong-dollar stablecoin, enabling digital transactions and merchant payments for users of the PayMe app. The bank announced the launch on Friday, marking a significant step into the regulated stablecoin sector in Hong Kong. More than 3.3 million PayMe users are set to gain access to stablecoin wallets in the app in the coming days. HSBC stated that consumers will be able to activate their wallets and use RedCoin for peer-to-peer transfers as well as merchant payments. The new stablecoin is fully backed and redeemable at a one-to-one rate for Hong Kong dollars.