#Hong Kong Digital Asset Policy 2.0

Here’s the latest on Hong Kong’s digital asset policies as of late June 2025:

📌 Key Developments

1. Policy Statement 2.0 (“LEAP” Framework)

On June 26, 2025, Hong Kong introduced its Digital Asset Development Policy Statement 2.0, under the government’s “LEAP” framework, emphasizing:

Legal and regulatory streamlining — unified licensing for exchanges, dealers, custodians, stablecoin issuers under the Securities and Futures Commission (SFC).

Expanding tokenized products — including government bonds, ETFs, precious metals, renewable energy assets, with tax and stamp duty incentives.

Advancing real-world use cases — push for tokenized assets, stablecoins across payments, supply chain, digital bonds; consultations to launch soon.

People & partnerships — talent cultivation, public–private collaboration, regulatory-tech infrastructure.

2. Stablecoin Licensing Regime

Hong Kong’s legislature passed a Stablecoin Ordinance on May 21, 2025, mandating that issuers of Hong Kong-dollar or fiat-referenced stablecoins obtain licensing from the HKMA.

Sets robust safeguards for reserves, redemption processes, and risk controls.

Licensing takes effect August 1, 2025.

Sandbox phase launched March 2024 with participants like Standard Chartered–Animoca–HKT coalition, JD Coinlink, RD InnoTech

3. Crypto Exchange Licensing & Market Oversight

The SFC has approved nine spot-trading crypto exchange licenses with additional applications in review .

It’s evaluating listings of derivatives and margin trading products for professional investors .

SFC actively monitors unlicensed actors, has shut down shady platforms (e.g., JPEX), identified dozens of fake sites, and bears down on AML/CFT compliance .

4. Tokenization of Real-World Assets (RWA)

Policy 2.0 accelerates tokenization—supporting tokenized government bonds, ETFs, and wider asset classes like gold, energy .

Tax incentives and clarified stamp duty aim to boost liquidity and broaden investor participation .

5. Tax Incentives for Institutions

Hong Kong is considering tax exemptions on crypto and tokenized asset gains for private equity, family offices, and hedge funds to attract institutional capital .

✅ Summary & Outlook

Goals What’s Next

Unified licensing under SFC & HKMA Public consultations on retail dealer/custodian licenses
Stablecoin regulation in effect August 1: formal licensing opens
Expansion of licensed providers New exchange, derivatives, and custody licenses expected
Tokenization ambitions Tax and infrastructure incentives to deepen RWA rollout

Hong Kong is closing the gap toward becoming a top global digital asset hub, balancing regulatory rigor with innovation—particularly in stablecoins, tokenization, and institutional services.

🧭 What to Watch

Launch of SFC’s public consultation on dealer & custodian licensing

First round of HKMA-issued stablecoin licenses after August 1

Institutional entrants for derivatives and margin trading instruments