The first tokenized retail money market fund in the Asia Pacific region is expected to be launched by the end of this month, and the Hong Kong Securities and Futures Commission reiterates that there will be no upper limit or target for VATP licensing

According to a report by Hong Kong Wen Wei Po, some fund issuers were expected to launch the first tokenized retail money market fund in the Asia Pacific region by the end of this month. Leung Fung yee, CEO of the Hong Kong Securities and Futures Commission, stated that she has discussed with the Hong Kong Monetary Authority on the Ensemble project and believes that money market funds have the most potential for tokenization among real-world assets, as they can facilitate efficient subscription and redemption. Currently, many other tokenization applications are under review, including retail products and money market funds. Liang Fengyi also revealed that the Hong Kong Securities and Futures Commission has established an industry advisory group for licensed virtual asset trading platform (VATP) operators, hoping to release a development roadmap in the near future. Currently, 9 valid applications are still being processed, reiterating that there is no licensing cap or target. In addition to virtual asset trading platforms, the China Securities Regulatory Commission will also assist the Financial Services and Treasury Bureau in formulating regulatory frameworks for virtual asset custody and over-the-counter (OTC) trading. It is expected that the market will be publicly consulted again within the year.