Hong Kong SFC Sets 12-Month Virtual Asset Plan, Eyes Tokenized Fund Trading Pilot

According to Hong Kong’s SFC, a new framework will pilot secondary trading of tokenized authorized investment products, with tokenized money market funds expected to be the first products launched locally.

Summary

Hong Kong’s Securities and Futures Commission announced a new regulatory framework to pilot secondary trading of tokenized SFC-authorized investment products. The first products expected under the initiative are tokenized money market funds in Hong Kong. The regulator said it will review operations during the pilot and may later expand the scope of eligible products, adding a concrete next step to its broader virtual asset and tokenization agenda.

Terms & Concepts
  • Tokenized money market funds: Money market funds issued or represented on blockchain rails, allowing fund interests to be handled as digital tokens.
  • Secondary trading: The buying and selling of existing securities or investment products between investors after the initial issuance.
  • Tokenized SFC-authorized investment products: SFC-approved investment products that are issued or represented in tokenized form using distributed ledger technology.