Hong Kong’s First Tokenized Money Market ETFs Unveiled

• HashKey and Bosera launch the world’s first tokenized money market ETF in Hong Kong.
• The ETFs enhance transparency and liquidity using blockchain technology on HashKey Chain.
• HashKey Chain provides technology, ensuring secure on-chain asset management and compliance.

Hong Kong has taken another step in merging traditional finance with blockchain technology. HashKey Group and Bosera Asset Management have launched the world’s first tokenized money market ETFs. The Hong Kong Securities and Futures Commission (SFC) has approved these products, marking a significant development in the financial sector. The ETFs will be officially launched in April.

The newly introduced ETFs are the Bosera HKD Money Market ETF (Tokenized Class) and the Bosera USD Money Market ETF (Tokenized Class). These products are part of the Hong Kong Monetary Authority’s (HKMA) Project Ensemble Sandbox. The initiative explores the tokenization of real-world assets. HashKey, a participant in this project, aims to support Hong Kong’s growing tokenized ecosystem.

Money market ETFs are known for their low risk and high liquidity. They serve as essential tools for cash management. By leveraging blockchain technology, Bosera has enhanced these products’ transparency and operational efficiency. Investors can now access high-quality money market instruments in a streamlined way. Tokenization allows for seamless asset allocation and risk management.

HashKey played a crucial role in this initiative. The firm provided the technical infrastructure needed for tokenizing the ETFs. HashKey Chain, a high-performance public blockchain, serves as the foundation for these products, ensuring security, efficiency, and compliance. The NexaToken service further strengthens on-chain asset management. Meanwhile, HashKey Exchange, Hong Kong’s largest licensed virtual asset trading platform, will distribute and provide custody for the tokenized ETFs.

CMB Wing Lung (Trustee) Limited and BOCI-Prudential Trustee Limited are the custodians of these funds. Their role includes fund administration, transfer agent services, and valuation. These aspects are critical to maintaining stability and efficiency in the tokenized investment space.

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Dr. Xiao Feng, Chairman and CEO of HashKey Group, stressed the significance of this development. He stated that bringing money market ETFs on-chain is a major step toward integrating blockchain with traditional finance and expected more financial institutions to enter the space through tokenization.

Bosera also highlighted its commitment to financial innovation. CEO Lian Shaodong said the firm aims to enhance financial inclusion by using blockchain technology. The company hopes to expand its use of tokenization in future products. 

BOCI-Prudential’s CEO Andrew Law noted that blockchain improves fund administration. He emphasized the role of tokenization in making financial services faster and more transparent. As Hong Kong continues to develop its tokenized finance ecosystem, this launch represents a milestone. The collaboration between HashKey, Bosera, and regulatory bodies signals a growing shift toward blockchain-powered financial solutions.

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