Executive Summary
The Israel Capital Market Authority, Pakistan’s State Bank and the Hong Kong Monetary Authority announced major regulatory moves this week that bring locally‑pegged stablecoins and virtual‑asset service providers (VASPs) closer to mainstream finance. Israel approved the issuance of BILS, a shekel‑pegged stablecoin built on Solana. Pakistan issued Circular Letter No. 10 of 2026, replacing its 2018 crypto ban and allowing licensed VASPs to open bank accounts under strict compliance rules. Hong Kong granted stablecoin‑issuer licences to Anchorpoint Financial Limited and The Hongkong and Shanghai Banking Corporation Limited, with an effective date of 10 April 2026.
What Happened
In Israel, the Capital Market Authority gave the green light for BILS after a two‑year pilot that involved Fireblocks, QEDIT, EY and the Solana Foundation. The stablecoin is pegged to the Israeli shekel and will initially run on the Solana blockchain.
Pakistan’s central bank released Circular Letter No. 10 of 2026, overturning the 2018 prohibition on virtual currencies. The circular permits regulated entities to open bank accounts for PVARA‑approved or licensed VASPs and their customers, provided they meet defined documentation, monitoring and risk‑assessment requirements.
Meanwhile, the Hong Kong Monetary Authority added two new entries to its stablecoin‑issuer register: Anchorpoint Financial Limited and The Hongkong and Shanghai Banking Corporation Limited. Both licences became effective on 10 April 2026, marking Hong Kong’s continued push to formalise stablecoin operations.
Background / Context
Stablecoins have become a focal point for regulators seeking to bridge crypto assets with domestic fiat systems. Israel’s pilot demonstrated a collaborative approach, leveraging blockchain infrastructure providers and a major accounting firm to test a shekel‑linked token. Although BILS has not yet shown proof of issuance or user uptake, the approval signals a willingness to integrate digital assets into the country’s financial ecosystem.
Pakistan’s shift reflects a broader trend in emerging markets where crypto adoption outpaces regulatory clarity. Chainalysis ranks Pakistan among the world’s leading crypto‑adoption countries, yet the 2018 ban limited formal banking relationships for VASPs. The new circular ties bank‑account access to robust compliance checks, mirroring international best practices while aiming to unlock the sector’s economic potential.
Hong Kong has positioned itself as a hub for regulated crypto services. By granting licences to a fintech‑focused firm and a major banking institution, the HKMA underscores its strategy of combining traditional banking oversight with innovative stablecoin offerings. Both licences are publicly listed in the HKMA register, ensuring transparency.
Reactions
Industry observers in Israel welcomed the BILS approval as a “significant step toward a digital shekel ecosystem,” noting the involvement of established blockchain partners. However, they cautioned that real‑world usage will depend on wallet integrations and merchant acceptance.
Pakistani fintech leaders described the circular as “a watershed moment” that could finally bring crypto businesses into the formal banking sector. Critics pointed out that the effectiveness of the new framework will hinge on the pace at which licensed VASPs secure concrete bank relationships.
In Hong Kong, the licences were praised by market participants for reinforcing the territory’s reputation as a regulated crypto hub. Analysts highlighted that the inclusion of a major bank alongside a specialised fintech firm demonstrates a balanced approach to stablecoin supervision.
What It Means
Collectively, these regulatory actions indicate a shift from abstract crypto policy to practical integration with local money, bank accounts and settlement systems. By anchoring stablecoins to national currencies and mandating compliance‑heavy banking relationships, regulators are laying groundwork for everyday use cases such as merchant checkout, cross‑border payments and payroll.
The Israeli approval could pave the way for other asset‑backed tokens on Solana, especially if BILS gains traction among consumers and businesses. Pakistan’s circular may encourage a surge in licensed VASPs seeking to formalise operations, potentially boosting the country’s already strong crypto adoption metrics.
Hong Kong’s licensing reinforces the territory’s role as a testing ground for regulated stablecoin models, offering a template for other jurisdictions that aim to blend fintech innovation with traditional banking oversight.
What Happens Next
In Israel, the next milestone will be the public issuance of BILS and the rollout of user‑friendly wallets that enable shekel‑denominated payments. Stakeholders will watch for any proof‑of‑concept demonstrations that could accelerate merchant adoption.
Pakistan’s State Bank is expected to issue detailed guidelines on compliance documentation and monitoring procedures, enabling VASPs to apply for bank accounts. The effectiveness of these guidelines will be measured by the number of VASPs that secure banking relationships in the coming months.
Hong Kong’s newly licensed issuers will begin onboarding users and integrating with local payment rails. Regulators will monitor their reserve management and anti‑money‑laundering controls to ensure alignment with the HKMA’s standards.