Hong Kong’s regulators have officially approved the China Asset Management Hong Kong Dollar Digital Currency Fund (“the Fund”), set to be listed by the end of February. This marks the launch of the first-ever retail tokenized fund in the region, allowing investors to access returns from HK dollar-denominated funds through blockchain technology.
According to the announcement, with the approval from the Securities and Futures Commission (SFC), the Fund aims to provide investors with enhanced on-chain investment opportunities by integrating blockchain. This will ensure transparent, secure, and scalable settlement on a public, permissioned blockchain, offering a diversified investment experience. Note that China Asset Management, which is one of China’s largest fund management companies, boasts over RMB 2.58 trillion in assets under management as of December 31, 2024.
Gan Tian, CEO of China Asset Management, highlighted, “This milestone is a key step in our strategy toward Web 3, with tokenization being a critical focus. Tokenized funds offer revolutionary advantages, such as blockchain-based title issuance and transparent settlement.”
Tian further emphasized that tokenized securities have the potential to reshape global capital markets, with the launch of the Hong Kong Dollar Digital Currency Fund showcasing how digital technology can make traditional financial products more accessible.
In this effort, Standard Chartered Bank will be an important player as the tokenization agent, digital platform operator, and token custodian for the Fund. The bank also provides traditional fund management and trust services, which is necessary for the successful launch of the product. Notably, the Fund will be tokenized through Libeara, a tokenization platform under SC Ventures.
Elizabeth Huen, CEO of Standard Chartered Hong Kong, Greater China, and North Asia, sees the launch of the region’s first retail tokenized fund as a significant milestone in Hong Kong’s evolution into a global cryptocurrency hub.
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