According to PANews, the Hong Kong Monetary Authority has launched a distributed ledger technology regulatory incubator to assist banks in responsibly exploring the potential of DLT and aiming to effectively manage related risks.
The incubator will enhance the risk management capabilities of the banking industry, especially when launching services that involve DLT and traditional banking infrastructure. The incubator provides a one-stop regulatory platform to help banks implement risk management measures before fully launching DLT projects.
The incubator will also launch a series of measures to promote the banking industry’s understanding of DLT risk management best practices, including regulatory guidance, industry sharing sessions and forward-looking research projects, to enhance the banking industry’s ability to introduce DLT solutions.