Hong Kong Securities and Futures Commission: Considering allowing licensed virtual asset trading platforms to provide secondary trading of tokenized securities for retail investors.

According to a report by the Hong Kong Economic Journal, the Hong Kong Securities and Futures Commission (SFC) is considering allowing licensed Virtual Asset Trading Platforms (VATPs) to provide secondary trading services for tokenized securities to retail clients. Lo Hoi-shi, Deputy Director of the SFC's Intermediaries Department, stated that the authorities are studying the relevant requirements, operational risks, and control measures, and are drafting a related circular. Currently, Hong Kong retail investors can only subscribe to and redeem tokenized funds in the primary market. Lo specifically mentioned that the authorities are paying attention to local tokenized money market funds and hope to allow them to be traded on licensed VATP platforms, and have already conducted preliminary consultations with the industry regarding the relevant requirements. Lo emphasized that from the SFC's perspective, tokenized securities are essentially the same as ordinary securities, only with added technical layers; therefore, the regulatory principle of "same business, same risks, same rules" will be applied.