The Hong Kong government has announced the successful placement of HK$800 million (approximately $102 million) in tokenized green bonds.  This is the world's first tokenized green bond issued by the government, crypto media outlet CryptoSlate reported on February 16.

"Green" bonds are debt securities that are issued to attract investment in projects related to environmental improvement.

The tokens were issued by HSBC Bank on a private blockchain. Subsequent coupon payments, secondary market settlement, and bond redemption will also be done digitally, the statement said. Goldman Sachs GS DAP platform was used to tokenize the bonds, and the bond settlement is handled by HKMA's Central Clearing System for Debt Instruments (CMU).

Furthermore, in recent months, there has been a rising narrative that China is warming to cryptocurrencies and intends to introduce pro-crypto laws in Hong Kong as a type of sandbox test. Thus, local insights claim that Hong Kong citizens will be allowed to buy, sell, and trade crypto assets from June 1.

Source: CRYPTOSLATE