Hong Kong explores building RWA tokenization ecosystem and stablecoin policy

Odaily Planet Daily reported that Wang Yang, Vice President of the Hong Kong University of Science and Technology and Chief Scientific Advisor of the Hong Kong Web3.0 Association, and Zhu Haokang, a doctoral student in financial technology at the Hong Kong Polytechnic University and a founding member of the RWA and Stablecoin Working Group of the Hong Kong Web3.0 Association, pointed out that Hong Kong needs to pay more attention to Build a vibrant ecosystem to ensure licensed institutions have viable business plans. Although supervision helps maintain market order, the current licensing system is a burden to virtual asset companies to a certain extent. Therefore, it is recommended that Hong Kong focus on the in-depth integration of virtual world and real-world assets, and build a powerful Web3 ecosystem based on real-world assets (RWA) based on the Hong Kong dollar stable currency. The tokenization of RWA, that is, the conversion of physical or intangible assets into digital tokens, is considered to be one of the trends in the future development of Web3. Under the right regulatory environment, RWA is expected to provide development opportunities for legitimate players. To establish a compliant ecosystem, we need to consider the characteristics of security tokens and utility tokens, as well as core elements such as legal basis, financial structure, technical support and data drive. To promote the development of RWA tokenization, Hong Kong needs to establish a strong blockchain infrastructure to ensure compliance, security, and transparency. In addition, stable currency is an infrastructure that cannot be ignored, so it is recommended that Hong Kong issue a unified Hong Kong dollar stable currency. At the same time, clarifying the regulatory policies for RWA token issuance, encouraging financial institutions to participate in RWA business, and establishing an open, standardized, and dynamic RWA tokenized business ecosystem will help enhance Hong Kong’s digital economy and financial technology strength. (Dagong.com)