The third batch of tokenized green bonds in Hong Kong is about to debut! The Hong Kong government: In the future, both ETFs and government bonds will be on-chain.

On May 7, Hong Kong's Financial Secretary Paul Chan publicly revealed that the Hong Kong government will fully launch the "asset tokenization" strategy, preparing to issue the third batch of "tokenized green bonds" and introduce the new version of the "Digital Asset Development Policy Declaration 2.0." The goal is to make Hong Kong the most open and secure digital asset center in Asia.

The third batch of tokenized green bonds is about to debut, expanding the diverse applications of precious metals and green energy.

At the "Hong Kong Digital Finance Awards 2025" ceremony, Xu Zhengyu pointed out that the Hong Kong government has issued two batches of tokenized green bonds in 2023 and 2024, achieving initial success. These bonds were registered and settled through distributed ledger technology (DLT).

The following are the main features and innovative highlights of the first two batches of tokenized green bonds:

First batch: covering primary market issuance, secondary market settlement and coupon payments, fully on-chain, with automatic redemption function at the end of the trial period.

Second batch: Issued in a "digital native" manner, without the need for traditional custodial institutions, supporting ICMA bond classification (BDT), green bond disclosure documents can be accessed on the digital asset platform, T+1 rapid settlement; issued through the HSBC Orion platform, CMU is responsible for settlement, and it is connected with Euroclear and Clearstream.

He further stated that the government has begun preparations for the third batch of tokenized green bonds, targeting the diverse applications of precious metals, non-ferrous metals, and renewable energy ( such as solar panels ). In the future, he hopes that this "blockchain issuance" model can become a regular fundraising tool for the Hong Kong government.

Tokenization is implemented in three phases, both ETFs and bonds can be put on the blockchain.

Xu Zhengyu added that starting from 2023, the Hong Kong government has promoted the tokenization of financial assets in three phases. The first batch focuses on "bank assets," the second batch is "government funds," and the third batch involves "market instruments." He cited examples such as government bonds and ETFs, which can have tokenized versions issued in the future, allowing assets to go on-chain directly. They are also studying tax incentive policies, including tokenized ETFs, such as exemptions from stamp duty.

The regulatory framework emphasizes the balance between innovation and risk control, and the bill is in the legislative process.

In addition to promoting tokenization, Xu Zhengyu also emphasized that digital asset trading platforms and virtual asset issuance (, such as stablecoins ), also need to be regulated by legislation. He revealed that the Hong Kong government is currently drafting relevant provisions and hopes to submit them to the Legislative Council as soon as possible, in order to implement a regulatory framework that balances innovation and risk control.

He added that the regulatory direction would emphasize three points:

Effective risk management

Enhance Transparency

Ensure investor protection

to make Hong Kong one of the most trusted markets for digital assets in the world.

Digital Asset Policy 2.0 is online, stablecoin regulation and tokenization applications are fully launched.

Last week, the Hong Kong government officially released the "Digital Asset Development Policy Declaration 2.0", which includes four main core directions:

Regulations are clear (Legal and regulatory streamlining)

Ecosystem cultivation ( Expanding the suite of tokenized products )

Advancing use cases and cross-sectoral collaboration (

Talent training ) People and partnership development (

The overall plan is integrated into the "LEAP" framework. Among them, the stablecoin )Stablecoin( will become a regulatory focus. The Hong Kong government plans to launch a licensing system for stablecoin issuers starting August 1, with a focus on practical applications.

This article announces the upcoming launch of Hong Kong's third batch of tokenized green bonds! The Hong Kong government: In the future, both ETFs and government bonds will be put on the blockchain. First appeared in Chain News ABMedia.