Hong Kong Finance Secretary Paul Chan supports the city’s approach to regulating digital assets with a “same activity, same risk, same regulation” framework. He emphasized the importance of balancing finance and technology while ensuring guardrails for financial stability, market integrity, and investor protection.

Chan highlighted existing measures in Hong Kong, such as a licensing regime for virtual asset trading platforms and pilot testing transactions using tokenized deposits and digital assets by the Hong Kong Monetary Authority. Stablecoin licenses are expected to be issued in the first quarter, with three batches of tokenized green bonds totaling $2.1 billion issued since 2023.

Hong Kong is focusing on asset tokenization, with examples like a Hong Kong-based subsidiary of China Merchants Bank tokenizing a $3.8 billion US dollar money market fund on BNB Chain. The Hong Kong Monetary Authority’s Fintech 2030 strategy prioritizes data, AI, resilience, and tokenization under the DART framework, aiming to expand the city’s tokenization ecosystem over the next five years. In November 2025, a blockchain-based trade finance pilot was completed between Brazil and Hong Kong.

Read more at Cointelegraph: Hong Kong Highlights Balanced Digital Asset Regulation at Davos