Hong Kong’s Chief Executive Discusses Virtual Assets in 2024 Policy Address
In the 2024 policy address, the Hong Kong Chief Executive highlighted several virtual assets and their potential use cases. The report, in Article 99, outlines several key points:
1. Encouraging cross-border payment applications using central bank digital currency (CBDC) to promote financial innovation.
2. Improving the regulation of virtual asset transactions. The Treasury Department will complete the second round of consultation on the regulation of over-the-counter transactions of virtual assets and submit a proposed licensing system for regulating virtual asset custody service providers. 3. Promoting the tokenization of real-world assets and the digital currency ecosystem.
4. Encouraging the development of the digital securities market and supporting more financial institutions and issuers to adopt tokenization technology in capital market transactions. 5. Working with the Treasury Bureau to submit a bill within the year to regulate issuers of fiat currency stablecoins.
These measures aim to strengthen the regulatory framework for virtual assets and promote the growth of the digital currency ecosystem in Hong Kong.
