Deputy Secretary for Financial Services and the Treasury of Hong Kong, Chen Haolian, stated at the opening ceremony of the 2026 Hong Kong Web3 Carnival on April 20, 2026 that the Securities and Futures Commission (SFC) is studying secondary-market trading rule(s) for tokenized products with the industry, with the goal of announcing policy details in the first half of 2026. Chen Haolian also announced that the Hong Kong Monetary Authority (HKMA) has issued its first batch of two stablecoin issuer licenses this month.
LEAP Framework: Progress on the Regulatory System and Licensing
According to Chen Haolian’s speech at the 2026 Hong Kong Web3 Carnival, Hong Kong’s “Digital Asset Development Policy Statement 2.0” released in 2025 will promote Web3 development with “LEAP”’s four major pillars. Regarding the regulatory system, Chen Haolian disclosed:
Stablecoin licensing: HKMA has issued the first batch of two stablecoin issuer licenses as of April 2026
Licensed trading platforms: More than 10 licensed digital-asset trading platforms are currently operating
New regulatory regime: The Hong Kong government is drafting a regulatory framework for digital-asset trading and custody service providers, with the goal of submitting a bill to the Legislative Council in 2026
In his speech, Chen Haolian said that Hong Kong will adhere to the principle of “the same business, the same risks, the same rules” to build a regulatory system that suits local conditions and meets international standards.
Expansion of Tokenized Products: Money Market Funds and Green Bonds
According to Chen Haolian’s speech, Hong Kong currently has more than 10 tokenized money market funds recognized by the SFC, and the SFC is studying secondary-market trading rule(s) for tokenized products with the industry, with the goal of announcing policy details in the first half of 2026.
Regarding tokenized bonds, in November 2025, Hong Kong issued its third batch of tokenized green bonds with a total value of HK$10 billion, making it the largest issuance globally. In August 2024, HKMA launched the Ensemble project sandbox, and in November 2025 it entered a pilot phase under the name EnsembleTX, focusing on real-time liquidity management for trading tokenized money market funds.
Two-Way Capital Flows Between Hong Kong and the Middle East
According to a report in the Hong Kong Commercial Daily on April 19, 2026, regarding capital flows between Hong Kong and the Middle East, Chen Haolian said that indeed more clients are asking how to route funds to Hong Kong or open accounts in Hong Kong. Chen Haolian revealed that a licensed virtual insurance company in Hong Kong has expanded its business to Saudi Arabia and the United Arab Emirates, tokenized funds from Hong Kong have entered Middle East wealth-management platforms, and Asian capital can buy Islamic bond ETFs in Hong Kong, providing Middle East investors with a reliable market channel.
Frequently Asked Questions
What is the target timeline for the SFC’s study of secondary-market trading rule(s) for tokenized products?
According to Chen Haolian’s speech on April 20, 2026 at the 2026 Hong Kong Web3 Carnival, the SFC is studying secondary-market trading rule(s) for tokenized products with the industry, with the goal of announcing policy details in the first half of 2026.
What are the details of the first batch of stablecoin licenses issued by the HKMA this month?
According to Chen Haolian’s speech, HKMA issued the first batch of two stablecoin issuer licenses as of April 2026, which is the first round of license issuance to formally take effect Hong Kong’s stablecoin regulatory regime.
What is the issuance size of the tokenized green bonds issued by Hong Kong in 2025?
According to Chen Haolian’s speech, in November 2025 Hong Kong issued its third batch of tokenized green bonds with a total value of HK$10 billion, representing the largest scale of tokenized green bond issuance in the world.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Japan launches the Canton network verification pilot and tests government bonds as digital collateral
JSCC, under the JPX Japan Exchange Group, partnered with Mizuho, Nomura, and Digital Asset to launch a concept proof-of-concept project based on the Canton network. The project will test the feasibility of Japanese government bonds as digital collateral, with the aim of improving liquidity and management efficiency in financial markets, and ensuring it does not conflict with existing regulations. The initiative also covers cross-border trading scenarios, signaling the application potential of Japanese government bonds in the digital asset space.
ChainNewsAbmedia55m ago
Vitalik Buterin Outlines Ethereum's 5-Year Roadmap Focused on Quantum Security and Scalability
Vitalik Buterin presented Ethereum's five-year roadmap, focusing on quantum security and scalability. Key goals include increasing gas limits, implementing Zero Knowledge Proofs, and enhancing transaction confirmation times by 2028, despite challenges with quantum-resistant signatures.
GateNews1h ago
Nexchain Smart Actions Brings AI to Autonomous Web3
Nexchain introduced Smart Actions, a suite of intelligent modules designed to transform blockchain networks from manual, reactive systems into autonomous and self-optimizing environments, according to an announcement on April 18, 2026. The product reflects the company's commitment to building
CryptoFrontier2h ago
Hong Kong SFC issues two tokenized offering circulars on the same day (26EC22 / 26EC23): Full breakdown of VATP secondary trading and primary subscription and redemption rules
The Hong Kong Securities and Futures Commission will issue two guidance circulars for tokenized products in 2026, covering primary-market subscription and redemption and secondary-market trading requirements, respectively. The circulars will clearly define the responsibilities of product providers, liquidity requirements, and fair pricing mechanisms. The new regulatory framework will affect how the industry operates and will create new business opportunities for compliance lawyers, forming a template for tokenized finance regulation in the Asia-Pacific region.
ChainNewsAbmedia4h ago
World Upgrades World ID to Full-Stack Proof-of-Human Protocol Spanning 160 Countries
World has launched an upgraded World ID protocol for secure digital verification in various sectors. It enhances privacy and supports AI applications while managing user identities across 160 countries, verifying nearly 18 million individuals.
GateNews7h ago
Cobo Launches AI-Powered Agentic Wallet for Secure Autonomous On-Chain Transactions
Cobo has launched the Cobo Agentic Wallet, enabling AI agents to conduct on-chain transactions under user-defined controls. Utilizing Multi-Party Computation for security and incorporating Pact and Recipes protocols, it supports various operational modes for diverse risk levels.
GateNews9h ago
