While the crypto industry is currently undergoing regulatory scrutiny from US authorities, some regions, such as Hong Kong, have shown continued interest in the fundamental potential of blockchain technology.
Related reading: Hong Kong to Restrict Retail Investors’ Crypto Trading to Only ‘Very Liquid’ Assets
Earlier today, the Hong Kong Special Administrative Region (HKSAR) Government of the People’s Republic of China announce a successful sale of the world’s first tokenized green bond.
Hong Kong Becomes World’s First Tokenized Green Bond Issuer
Hong Kong has shown interest in the potential of blockchain. According to the latest report, the Hong Kong government could sell about 800 million HK dollars worth about $102 million worth of tokenized green bonds with a yield of 4.05%.
Hong Kong’s Finance Secretary Paul Chan praised the latest achievements of the country’s digital economy, saying:
The successful issuance of this token green bond is an important milestone as it demonstrates Hong Kong’s strength in integrating the bond market, green and sustainable finance as well as fintech.
Goldman Sachs GS DAP, a blockchain tokenization platform, is responsible for the execution of tokenized green bond sales as it is used to represent the banking giant’s efforts to contribute to the digitalization of the capital market and increase efficiency in debt issuance.
Hong Kong’s Position In The Crypto Industry
The digital currency market has grown over the past several years. All over the world, authorities and the private sector are finding ways to cope with the new industry. The US, for example, seems more interested in regulating crypto than using it.
On the other hand, the Hong Kong region remains on the path of adoption despite the hostile attitude of the Chinese central government. During the bear market turmoil since last year, Hong Kong remained the destination as the region crypto hub.
Previously, the region announced the plan allowing retail investors to trade with digital assets. Unlike China, Hong Kong intends to change its approach to regulating the new sector instead of implementing a “blanket ban.”
Elizabeth Wong, who heads the fintech unit at Hong Kong’s Securities and Futures Commission (SFC), confirmed that the country will introduce a bill to regulate digital assets in a “more independent and liberal way.”
In December, Hong Kong preparing new legislation targeting crypto exchange service providers. In particular, the bill requires crypto exchange service providers to follow the same rules as traditional financing organizations.
As the region continues to grow into a crypto hub, some parts are already using crypto. Last July, the Hong Kong University of Science and Technology announced building the world’s first physical digital twin school building in the Metaverse.
A month later, Hong Kong’s central bank assessed the potential for digital assets to influence the legacy financial market. Meanwhile, the crypto market has been in an upward trend for the past 24 hours. Bitcoin broke the $25,000 mark for the first time in a month, rising by 9% in the last 24 hours.
Altcoins such as Ethereum are also following to collect new highs. ETH is currently up 8.4% in the last 24 hours after passing the $1,700 mark and aiming for the $1,800 area.
Featured images from Unsplash, Charts from TradingView.