Hong Kong Financial Services Development Council: Promote the tokenization of physical assets in 2-5 years, and improve the tokenization issuance and trading system in 5-10 years.

The Hong Kong Financial Services Development Council recently released a concept report entitled "Hong Kong's Leading Path in Capital Markets: Super-Connector - A Global Capital Hub in the Digital Age," which systematically proposes a forward-looking and actionable strategic framework.

Guided by a clear timeline, the framework outlines the implementation path for various initiatives, aiming to systematically expand the tokenized asset market and propel Hong Kong towards becoming a next-generation global capital hub. According to the report, in the medium term of 2 to 5 years, Hong Kong will focus on developing tokenized physical assets and related financial instruments, promoting the effective connection between physical assets and digital value, and further enriching the capital market product system.

In the long-term development cycle of 5 to 10 years, Hong Kong will gradually build market capabilities that fully support tokenized issuance and post-trade operations, and promote the harmonization and unification of data formats, compliance standards, and regulatory frameworks on a broader scale.

These efforts will significantly improve transaction execution efficiency, enhance market transparency, and create a smoother environment for cross-border capital flows. Simultaneously, Hong Kong will accelerate the construction of future-oriented digital financial infrastructure, focusing on asset tokenization platforms, the widespread application of programmable smart contracts, and a new generation of systems supporting near-instant settlement.

Through these technological empowerments, Hong Kong can not only optimize existing financial processes but also take the lead internationally in exploring compliant, safe, and efficient capital market innovation solutions.

In summary, this report outlines a clear and pragmatic evolutionary path for Hong Kong—by phased advancements in asset tokenization and the digitalization of financial infrastructure, Hong Kong is poised to become an innovative model and key hub for global capital markets in the digital economy era, continuously consolidating its position as a "super-connector" international financial center.