Hong Kong Legislator Encourages Coinbase to Set Up Operations Despite SEC Scrutiny

BOCI, the investment bank of the Bank of China, has achieved a significant first by becoming the first Chinese financial institution to issue a tokenized security in Hong Kong. BOCI joins hands with UBS & issued fully digital structured notes worth 200 million offshore renminbi (approximately $28 million) using the Ethereum blockchain. This groundbreaking transaction introduces regulated securities onto the main Ethereum blockchain, combining Hong Kong and Swiss law.

BOCI’s Commitment to Digital Transformation in Hong Kong’s Financial Industry

UBS, the originator, and partner of BOCI, expressed their satisfaction with this milestone achievement. The bank had previously issued a $50 million tokenized fixed rate note in December on a permissioned blockchain, operating under English and Swiss law. The recent issuance signifies a significant step forward in driving the simplification of digital asset markets and products, particularly in the Asia Pacific region. Ying Wang, Deputy CEO at BOCI, highlighted the bank’s commitment to promoting the digital transformation and innovative development of Hong Kong’s financial industry. The bank aims to leverage blockchain technology to create blockchain-based digital structured products tailored for customers in the Asia Pacific market. This move aligns with the evolving digital economy of Hong Kong, which recently implemented new guidelines for the crypto industry on June 1. Hong Kong’s proactive approach to embracing digital assets has sparked a flurry of activity in the region. First Digital, for instance, announced plans to introduce a new stablecoin regulated in Asia and pegged to the U.S. dollar. This demonstrates the growing interest and potential for blockchain-based financial solutions within the region.

China, on the other hand, has generated speculation regarding its cryptocurrency plans following the release of a white paper on web3 innovation and development. The appearance of the Bitcoin logo on a segment about cryptocurrencies aired on China Central Television further fueled discussions within Chinese-speaking communities.

Disclaimer: This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments. This is a news article only. 

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