Hong Kong Securities and Futures Commission: Considering allowing "licensed virtual asset trading platforms" to provide secondary trading of tokenized securities for retail investors

ChainCatcher News, according to Hong Kong Economic Daily, the Hong Kong Securities and Futures Commission (SFC) is considering allowing licensed virtual asset trading platforms (VATPs) to provide secondary trading services for tokenized securities to retail clients. Deputy Director of the SFC’s Intermediaries Division, Lo Hoi-shing, stated that the authorities are studying relevant requirements, operational risks, and control measures, and are drafting related circulars.

Currently, Hong Kong retail investors can only subscribe to and redeem tokenized funds in the primary market. Lo Hoi-shing specifically mentioned that the authorities are paying attention to local tokenized currency market funds and hope to allow their trading on licensed VATP platforms, having initially consulted the industry on related requirements.

Lo Hoi-shing emphasized that from the SFC’s perspective, tokenized securities are essentially the same as ordinary securities, with only added technological features, and will be regulated under the principle of “same business, same risk, same rules.”