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Chinese investment bank BOC International tokenized securities in Hong Kong based on the Ethereum blockchain. In an accompanying statement. This is the first product of its kind in the Asia-Pacific region, created in accordance with the laws of Hong Kong and Switzerland.
The power of the Ethereum blockchain has enabled the introduction of regulated securities into the public blockchain. It is noteworthy that at the end of last year, UBS bank issued tokenized bonds in the amount of $50 million under the laws of Switzerland and the UK.
Since June 1 this year, retail investors have the opportunity to trade digital currencies on licensed crypto exchanges in Hong Kong. At the end of May, the local Securities and Futures Commission published a list of requirements for exchanges that will be able to promote their services in the region.
To create an appropriate regulatory framework, the Hong Kong regulator collected over 150 reviews from professional participants in the cryptocurrency market. According to the document, regulatory norms for stablecoins will be implemented only next year. Accordingly, this asset class is not yet available for retail. The formed provisions provide for a ban on advertising of cryptocurrency platforms that provide staking and lending services.
According to most experts, the adoption of legislation loyal to the digital asset industry in Hong Kong will be positively received by the community. In recent months, an unfavorable environment for cryptocurrencies has formed in the United States. Consequently, many core companies are considering the possibility of a rapid transition to other jurisdictions. Against the backdrop of these events, just Hong Kong can become a very promising option.
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