According to PANews, Hong Kong Securities and Futures Commission (SFC) CEO, Leung Fung-yee, announced at the Wealth Management Summit that there may be further relaxation of mutual fund recognition measures between Mainland China and Hong Kong by the end of the year. This development follows the expansion of cross-border Wealth Management Connect and ETF Connect, which have broadened the sales network of Hong Kong funds in Mainland China.
Leung emphasized that the regulation of virtual assets focuses on the products rather than the technology itself. The primary concern is ensuring investor protection and the adequacy of security measures. The SFC is actively collaborating with the Hong Kong Monetary Authority (HKMA) to explore the use of tokenized deposits in bond and fund subscriptions through a pilot program. This initiative aims to enhance the financial ecosystem by integrating innovative financial technologies while maintaining robust regulatory oversight to safeguard investors.