PQA Labs 2025 Half-Year Review: Advancing the Future of Stablecoins

Word from Founder & Chief Executive Officer — Danny Lung

As we reach the midpoint of 2025, I am thrilled to reflect on the remarkable progress PQA Labs has made in our mission to redefine the intersection of quantum-safe blockchain technology and stablecoin innovation. The first half of this year has been a transformative period, not only for PQA Labs but for the entire stablecoin industry, which has accelerated at an unprecedented pace.

The global stablecoin market has surged to over $240 billion, driven by growing institutional adoption and increasing recognition of stablecoins as a bridge between traditional finance and digital assets. This momentum has been fueled by significant legislative developments, notably Hong Kong's passage of its Stablecoins Bill in May, which established a robust licensing regime for fiat-referenced stablecoins under the Hong Kong Monetary Authority (HKMA). This framework, mandating full reserve backing and strict oversight, has positioned Hong Kong as a global leader in compliant digital finance.

Similarly, the US marked a historic milestone with the passage of the GENIUS Act in June, creating the first federal regulatory framework for dollar-pegged stablecoins. This opened the door for banks, fintechs, and retailers to explore stablecoin issuance, promising to reshape the financial landscape.

Adding to this transformative wave, Circle's IPO in June was a resounding success, signaling the mainstream acceptance of regulated stablecoins. These macro developments have created a fertile environment for PQA Labs to thrive, and I am proud to share how we have seized these opportunities to advance our vision.

Global Ambitions

Our global ambitions have taken significant strides as we expand our horizons across Southeast Asia and beyond. The first half of 2025 saw PQA Labs actively exploring regional opportunities, with a particular focus on Thailand and Malaysia. These markets, with their vibrant economies and growing appetite for digital finance, present immense potential for stablecoin adoption, particularly in supply-chain finance.

To amplify our presence, we attended over ten high-profile events and forums, including Consensus, Singapore Fintech Week, and Beyond Expo in Macau. These platforms allowed us to showcase our quantum-safe stablecoin solutions and engage with global thought leaders. A highlight was our recognition at Beyond Expo, where PQA Labs won the Best Innovation Award for our pioneering work in integrating post-quantum cryptography with stablecoin technology.

Rooted in Compliance

Remaining rooted in compliance has been a cornerstone of our strategy, ensuring we build trust and stability in every step we take. In anticipation of Hong Kong's new stablecoin licensing regime, we have prioritized regulatory readiness. We engaged EY as our advisory partner to guide us through the complex process of applying for a stablecoin license under the HKMA's framework, which requires a minimum capital of HK$25 million and stringent reserve management protocols. I am pleased to report that we have successfully raised the necessary capital to meet this requirement, positioning us to submit a robust license application. Our proactive approach to compliance not only aligns with Hong Kong's regulatory vision but also sets a standard for responsible innovation in the stablecoin industry.

Operating with Excellence

Operating with excellence is at the heart of our mission, and the formation of our Advisory Board marks a significant milestone in this pursuit. I am particularly excited to welcome Mr. Andy Tung, whose distinguished career at OOCL brings unparalleled expertise in global logistics and supply-chain management. Andy's deep understanding of the shipping industry, coupled with his extensive network, is invaluable as we develop our stablecoin for supply-chain finance applications.

Our operational prowess is further enhanced by our ongoing collaborations with key players like HKVAX and Octiv Capital, both leading SFC-licensed entities in the digital asset space in Hong Kong, as well as exploratory discussions with GSBN and IQAX, which promise to unlock new opportunities in digital trade finance.

Widening Accessibility

We continue to widen accessibility, empowering broader participation in the digital asset ecosystem. Our commitment to community engagement is evident in our robust social media presence, with steady user growth on LinkedIn and X. To further our outreach, we launched "PQAcademy" on YouTube, a platform dedicated to sharing valuable knowledge about digital asset safety and quantum-resistant blockchain technology. I had the honor to engage with students at CUHK, sharing insights on quantum computing and its implications for blockchain. Our close collaboration with associations such as HKSTP, Cyberport, FTAHK, and Web3 Harbour has further strengthened our ties to Hong Kong's vibrant tech ecosystem.

Transforming Through Technology

Transforming through technology remains our north star as we pioneer the future of stablecoins. Our system portal is fully developed on the Ethereum blockchain and is ready for deployment, pending regulatory clearance. This milestone reflects our technical readiness to deliver a secure, scalable, and compliant stablecoin tailored for real-world applications. Simultaneously, we are advancing our work on post-quantum chains, Abelian and QDay, which are designed to withstand the cryptographic challenges posed by quantum computing.

The Power of Teamwork

Finally, harnessing the power of teamwork has been our greatest asset in 2025. To support our expanding operations, we have grown our team to include talented professionals across Hong Kong, China, Thailand, and Vietnam. This regional footprint enhances our ability to execute our vision with agility and cultural nuance.

Looking back on the first half of 2025, I am immensely proud of how PQA Labs has navigated the dynamic stablecoin landscape while staying true to our principles. As we move into the second half of the year, we are poised to capitalize on these opportunities, from securing the license to launching our stablecoin and expanding our presence in Southeast Asia.

Thank you to our partners, supporters, and community for joining us on this journey. The best is yet to come.

— Danny Lung, Founder & CEO of PQA Labs