Cointime

Cointime

Download App
iOS & Android
Home / Policy

HKMA issues distributed ledger technology guidance to banks

Hong Kong Monetary Authority has issued guidelines to local banks on the use of distributed ledger technology (DLT) and support for the development of Hong Kong's virtual asset ecosystem, in order to support banks in using DLT in a risk-controlled manner. Through clarifying the main regulatory considerations of the Authority, it aims to further promote the wider application of DLT in the industry, including establishing appropriate governance, ensuring the design suitability of DLT application projects, and continuous maintenance and supervision of DLT projects. In order to accommodate the diverse development of technology and the market, the Authority will continue to maintain close communication with the industry and support the orderly development of Hong Kong's virtual asset ecosystem in a risk-controlled manner.

Hong Kong
Comments

All Comments

Recommended for you

  • CFTC: Uniswap Labs has actively cooperated with the investigation and only needs to pay a fine of US$175,000

    The CFTC has filed a lawsuit against Uniswap Labs and reached a settlement. It was found that Uniswap Labs illegally provided leveraged or margined retail commodity transactions of digital assets through a decentralized digital asset trading protocol. Uniswap Labs was required to pay a civil penalty of $175,000 and cease violations of the Commodity Exchange Act (CEA). The CFTC acknowledged that Uniswap Labs actively cooperated with law enforcement agencies in the investigation and reduced the civil penalty.

  • The probability of the Fed cutting interest rates by 25 basis points in September is 55%.

    The probability of the Federal Reserve cutting interest rates by 25 basis points in September is 55.0%, while the probability of a 50 basis point cut is 45.0%. The probability of the Federal Reserve cutting interest rates by a cumulative 50 basis points by November is 32.1%, by 75 basis points is 49.2%, and by 100 basis points is 18.8%.

  • US SEC again postpones decision on environmentally friendly Bitcoin ETF listing application

    The US Securities and Exchange Commission (SEC) has once again postponed its final decision on the New York Stock Exchange (NYSE) Arca's application for a carbon offset Bitcoin ETF. According to a document dated September 4th, the decision has been extended to November 21st. The ETF aims to provide a Bitcoin investment exposure in an environmentally friendly way by offsetting carbon emissions, tracking an investment portfolio composed of 80% Bitcoin and 20% carbon credit futures. Tidal Investments submitted the fund registration application in December 2023, while NYSE Arca submitted the initial application in March. Concerns have been raised about the environmental impact of Bitcoin mining, with the International Monetary Fund (IMF) reporting that cryptocurrency mining accounts for 1% of global greenhouse gas emissions. The delay in this decision also includes the postponement of approval for the Nasdaq One-Stop Cryptocurrency Investment Portfolio ETF.

  • Japanese regulator calls for lower cryptocurrency tax rates by 2025

    On September 4th, it was announced that Japan's financial regulatory agency has released a comprehensive tax reform plan for the fiscal year 2025, which includes regulations on cryptocurrency to lower its tax rate.

  • Japan's Financial Services Agency releases tax reform requirements for fiscal year 2025, mentioning virtual currency transactions for the first time

    The Japanese Ministry of Finance has released tax reform requirements for the fiscal year 2025, which includes regulations related to cryptocurrency (virtual currency). The "Asset Income Doubling Plan and the Realization of National Asset Management" section of the reform plan mentions for the first time the issue of tax treatment for cryptocurrency transactions, discussing whether virtual currency should be treated as financial assets.

  • Cointime July 27th News Express

    1. As of July 25, BlackRock IBIT held more than 338,000 bitcoins, an increase of more than 1,092 bitcoins from the previous day.

  • Hong Kong's financial industry may study launching stablecoin trading desks and institutional custody services

    Hong Kong Monetary Authority recently announced the list of participants in the stablecoin issuer sandbox, including JD Coin Chain, Circle Coin Innovation, Standard Chartered Bank, Anni Group, Hong Kong Telecom and other institutions. Research reports released by Zeng Shengjun, a researcher at the Greater Bay Area Financial Research Institute of the Shenzhen Branch of Bank of China, and Guan Zhenqiu, a researcher at the Hong Kong Financial Research Institute of Bank of China, analyzed that the Hong Kong dollar stablecoin can improve the efficiency and inclusiveness of the Hong Kong financial system. Its stability, free convertibility, high security, high open source and cross-border mobility can provide support for a wider range of financial innovations.

  • Hong Kong Legislative Council Member: The issuance and trading system of tokenized bond-related products can be shared with the mainland

    Hong Kong Legislative Council member Chan Chun-ying stated that the new productivity of Hong Kong's financial industry is currently mainly developed around digital and green themes. Regarding virtual assets, Hong Kong regulatory agencies should establish relevant trading platforms, stablecoin issuances, testing and operational mechanisms, capture digital development trends, and share relevant regulatory experience with the mainland. At the same time, Hong Kong's tokenized bond development is leading the world, and relevant product issuances, trading systems can be shared with the mainland or guide more mainland companies to issue, together meeting international market demand.

  • Hong Kong investment in virtual assets will not be subject to capital gains tax

    Hong Kong investors in virtual assets will not be subject to asset value-added tax, which is a very attractive point for global investors. For example, in Japan and Australia, although they have expanded the virtual asset market earlier than Hong Kong, they still need to pay asset value-added tax, which will be included in the comprehensive tax rate calculation. The comprehensive tax rates in Japan and Australia can be as high as 50% and 40% respectively. For investors, investment returns are of course the most important consideration, and Hong Kong's low tax system will attract more international investors to settle in Hong Kong.

  • Hong Kong Securities and Futures Commission: Promote the implementation of the mutual recognition arrangement between the Mainland and Hong Kong, and allow sales to public investors in the other marke

    Securities and Futures Commission (SFC) of Hong Kong welcomes the release of the "Hong Kong Mutual Recognition of Funds Management Rules (Revised Draft for Solicitation of Comments)," which promotes the implementation of optimized mutual recognition arrangements for funds. The proposed measures for revision in the draft for solicitation of comments include relaxing the proportion limit for Hong Kong mutual recognition funds sold in the Mainland and allowing Hong Kong mutual recognition funds to transfer investment management functions to overseas asset management institutions under the same group as the manager. Currently, the proportion of mutual recognition funds sold in the other market cannot exceed 50% of the total assets of the fund. After optimization, this proportion limit will be relaxed to 80%. The SFC of Hong Kong will work closely to promote the formulation and implementation of relevant measures and will announce the implementation details and formal launch date of the optimized mutual recognition arrangements in due course. Cross-border mutual recognition of funds is a mature institutional arrangement in the field of international asset management market opening. As early as July 1, 2015, the China Securities Regulatory Commission and the Hong Kong Securities and Futures Commission launched mutual recognition of funds, allowing Mainland and Hong Kong funds that meet certain conditions to be recognized or licensed for sale to the public in the other market in accordance with statutory procedures.

Daily Must-Read

Popular Activities

Delysium $AGI & AI Private Yacht Party

Delysium $AGI & AI Private Yacht Party

March 27 - March 27
Seoul

Popular Tags

Cointime
News
Contents
RSS
Company