Hong Kong Crypto Policy Expands Oversight with Stablecoin Licensing and Tokenized Bond Plans

Highlights:

• Hong Kong will start licensing stablecoin issuers under its new policy roadmap.
• The LEAP framework will expand tokenized bonds and support real-world asset trading on approved platforms.
• The policy promotes industry training and will fund blockchain projects through a new Cyberport program.

Hong Kong, a special administrative region of China, has introduced a new policy roadmap to support its digital asset sector. The government issued Policy Statement 2.0 today. The update expands on the digital asset strategy that was initially announced in 2022. It introduces the LEAP framework, a program that addresses the criteria of legal clarity, ecosystem expansion, real-world use case adoption, and talent development.

BREAKING 🔥
HONG KONG LAUNCHES POLICY 2.0 ON DEVELOPMENT OF DISGITAL ASSETS TO BOOST TOKENISATION AND STABLECOIN ADOPTION pic.twitter.com/b5RsgjlwuG

— Crypto NG (@NG_crypto_trend) June 26, 2025

The plan describes the process through which the city will enhance its digital asset environment with clear oversight. Regulators will implement coordinated regulations for exchanges, stablecoin issuers, dealers, and custody holders. The SFC will be in control of issuing licenses to the entities. Meanwhile, a legal review will be headed by the Financial Services, the Treasury Bureau, and the HKMA. The intention of the review is to find a means to facilitate the use of tokenized financial products in the region.

The policy also promotes the expansion of tokenized offerings. Officials plan to make tokenized government bonds more accessible. They will also facilitate the issuance of tokenized exchange-traded funds on licensed platforms. The government will also explain how such products will be taxed. Hong Kong will venture into new tokenized sectors like gold and renewable energy.

Hong Kong Crypto Policy Centers on Stablecoin Licensing

The policy introduces stablecoin supervision as central to its digital asset approach. The government will initiate the process of a licensing program for stablecoin issuers starting August 1. This move will facilitate the development of confidence and propel increased use of stablecoins. Governments will experiment with new applications of stablecoins in payments and financial services.

The updated policy also focuses on tokenized assets. Policymakers are seeking to introduce additional tokenized products in the market, such as government bonds and exchange-traded funds. The government will permit such assets to be traded on regulated platforms and potentially authorize additional means of distribution.

The policy also facilitates extended tokenization beyond established finance. The authorities will encourage its application in various industries such as gold and renewable energy. Such attempts will demonstrate how blockchain technology can enhance access and transparency in various industries.

Collaboration in Education and Blockchain Programs

The policy also involves developing talent and researching in the field of digital assets. The government will work alongside the universities and the industry to come up with shared programs. Moreover, promising blockchain and digital finance projects will be funded through a new Cyberport funding program. The government will also carry out consultations with the population on future licensing systems. The moves come after recent developments, including permitting staking services and crypto exchange-traded funds.

In May, lawmakers passed the Stablecoin Bill, which set the foundation for the upcoming licensing regime. The city plans to attract both startups and major institutions while connecting digital tools to the real economy.