Hong Kong 'Needs to Commit to DLT', Advisory Group Says

Hong Kong’s government should lead the way on blockchain, a financial services advisory group said today.

AccessTimeIconMay 9, 2017 at 3:05 p.m. UTC
Updated Sep 11, 2021 at 1:18 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

The government of Hong Kong should lead the way on blockchain, a financial services advisory group said today.

The Financial Services Development Council (FSDC), formed in 2013 to provide guidance on industry issues, put out a new discussion paper published this morning that calls for government action in several key areas.

Here are the key recommendations from the FSDC report:

  • Prep for digital currencies: The FSDC wants Hong Kong to get ready for digital currencies, naming China specifically and citing "the likely issuance of digital RMB".
  • Establish R&D spaces: Tentatively called a "DLT Hub", the plan would include the development of a research-and-development center focused on public-private collaboration. If established, that initiative would dovetail with efforts by Hong Kong's de facto central bank.
  • Prove the concepts: The group is pressing Hong Kong's government to get hands-on with blockchain. The FSDC also wants Hong Kong to up its spending on blockchain: "To provide effective demonstration of DLT’s capabilities and benefits, this work should be given higher priority, backed by more substantial funding, and extended under 'Finance', 'Smart City' and 'Trade and Logistics' themes."
  • Take the lead: Hong Kong needs a "DLT lead function" to spearhead public-sector initiatives around blockchain. This individual or office (the report doesn’t specify) would serve as a catalyst for public-sector applications who, in part, would "promote the technology".

Striking a somewhat dramatic tone, the report urges Hong Kong to move expeditiously – or risk being left behind.

"Hong Kong needs to commit to DLT now in order to reserve a place for itself in a potentially very different world," the group concluded.

Read the full report here.

Hong Kong bridge image via Shutterstock


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish group, owner of Bullish, a regulated, institutional digital assets exchange. Bullish group is majority owned by Block.one; both groups have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.