Ye Zhiheng: This afternoon we will announce a framework to allow virtual asset trading platforms to trade tokenized assets.

CoinFeed reported on April 20th that at the 2026 Hong Kong Web3 Carnival, Ye Zhiheng, Executive Director of the Intermediaries Division of the Hong Kong Securities and Futures Commission (SFC), stated that the short-term tasks for the next 12 months are divided into three clusters. First, achieving common goals through regulation. The SFC has completed a summary of the virtual asset trading and custody system and launched four sets of regulations (virtual asset trading, custody, management, and consultation) at once. The related draft is 260 pages long and was jointly completed by the Hong Kong Monetary Authority (HKMA), the Ministry of Justice, and the SFC. Further consultations are needed on regulatory guidelines, framework rules, and details. In addition, dynamic approaches to custody technology and insurance compensation arrangements will be studied, with strict requirements for virtual asset insurance. Second, innovation through product practice. The SFC will allow virtual asset trading platforms to trade tokenized funds, starting with money market funds as a pilot program. If the experience is positive, it will be expanded to all authorized products.