TechFlow News, June 30. According to an announcement by the Hong Kong Monetary Authority, the Financial Services and the Treasury Bureau (FSTB) and the Hong Kong Monetary Authority (HKMA) jointly announced on June 29 that the first phase review on promoting the further application of Distributed Ledger Technology (DLT) in Hong Kong's fixed income market has been completed. The review results confirmed that Hong Kong's existing legal and regulatory environment is flexible enough to support the issuance of tokenized bonds. The Companies Registry released frequently asked questions on the same day, clarifying that registers of debenture holders maintained using DLT comply with the relevant provisions of the Companies Ordinance.
The next phase of the review will commence in the second half of this year, focusing on exploring legal optimization issues such as allowing electronic signatures to execute tokenized bond issuance documents, as well as the "possession" and "transfer" of tokenized fixed income products, to promote the wider application of DLT in the fixed income market and digital asset sector.
