Hong Kong launches initiative to help banks with DLT adoption
The Hong Kong Monetary Authority (HKMA) launched the "Supervisory Incubator for Distributed Ledger Technology" on January 8 to assist banks in implementing distributed ledger technology (DLT). The initiative aims to create a supportive environment for innovation in the banking sector. It includes two main components: providing individual bank support with a dedicated team for feedback on live trials, focusing initially on tokenized deposits, and promoting industry-wide development through sharing best practices and supervisory guidance. The program was announced at the HKMA's FiNETech4 event, attended by over 300 financial professionals. The initiative is expected to lead to advanced management of tokenized assets and innovative financial products using smart contracts. Additionally, Hong Kong's securities regulator approved licenses for four more virtual asset trading platforms in December, totaling seven.
