tokenisation

As tokenised assets surge, institutions, innovators and regulators, are converging to rewrite how global capital moves, including in Apac, according to a high-level panel discussion at Token2049 in Singapore.

HSBC’s John O’Neill discusses the bank’s growing focus on digital assets and why Hong Kong has emerged as a key launchpad for its strategy.

While banks should remain conservative, a balance with innovation can be reached, according to Deutsche Bank’s Boon Hiong Chan.

The city will “regularise” the issuance of tokenised bonds, according to Hong Kong's financial secretary at his latest Budget speech; Chan is expecting GDP growth of 2% to 3% in 2025.

The fund will also be the first retail tokenised fund across Asia Pacific.

DLT’s potential to drive transaction efficiency is more widely acknowledged, while some crypto native players are looking to tap into traditional financial products; however, Apac’s regulatory framework is fragmented.

FA spoke with industry players who explained how the city will roll the scheme out, and what still needs to happen.

In January, the government of Hong Kong announced Apac’s largest US dollar green bond issuance to date. It has since made headlines with other innovative green bond deals.

Non-fungible tokens (NFTs) performed surprisingly well in 2022, but will they continue to draw interest this year following controversies in the broader crypto sector? Regulation is the biggest unknown for the industry and while regulators determine rules, a landmark case in Singapore could support progress.