Asia's weekly TOP10 crypto news: Hong Kong Opens Tokenized Fund Secondary Trading, Thailand's WORPT Rolls Out Stablecoin Payments and Top10 News
RWA Signal Insight
InfrastructureHong Kong has officially introduced secondary market trading for SFC-authorised tokenized funds, establishing a regulatory framework similar to that used for ETFs. This development allows investors to trade tokenized fund units directly or through brokers on licensed Virtual Asset Trading Platforms, aiming to improve price discovery and shorten settlement cycles. In a separate but related development, BlackRock has signed a memorandum of understanding with SBI Holdings and Startale Group to explore integrating tokenized money market funds with the JPYSC yen stablecoin. This collaboration seeks to build technical infrastructure and distribution channels for tokenized assets within the Japanese market. These moves represent a significant shift toward institutionalizing the secondary market for tokenized financial products in Asia. By aligning tokenized fund operations with established ETF-like standards, regulators are providing a clearer path for liquidity and investor participation. These initiatives highlight the growing momentum of RWA tokenization as major financial institutions and regional regulators work to bridge traditional finance with blockchain-based infrastructure.
Key points
- Hong Kong enabled secondary market trading for SFC-authorised tokenized funds under an ETF-like framework.
- BlackRock, SBI Holdings, and Startale Group are exploring connections between tokenized MMFs and JPYSC.
- BlackRock's BUIDL fund currently holds approximately 2.17 billion USD in assets under management.
- Secondary market trading in Hong Kong aims to improve price discovery and reduce settlement times.
Background
Tokenized funds represent traditional investment vehicles, such as money market funds or bond funds, where ownership is recorded on a blockchain. This process allows for fractional ownership, 24/7 trading, and automated settlement through smart contracts. By moving these assets on-chain, institutions aim to increase operational efficiency and provide investors with greater transparency and liquidity compared to legacy systems.