GF Securities (Hong Kong) Brings Securities Originated by Itself to Public Blockchain

2024-01-23 11:29 GF Holdings (Hong Kong)

GF Securities (Hong Kong) has successfully issued tokenised securities in Hong Kong on January 18, making it the first Chinese brokerage firm that completed mintage, issuance and distribution of such products with underlying assets originated by itself. This move underlies GF Securities (Hong Kong)’s commitment to taking the lead in the development of the digital finance sector, and staying competitive and capturing new opportunities in this nascent marketplace.

The tokenised securities were issued after the Securities and Futures Commission in Hong Kong released a circular on tokenised securities-related activities in November 2023. The issuance were completed under Hong Kong laws and regulatory requirements, and t represents the company’s significant contribution to Hong Kong’s increasing efforts to promote itself as a key hub for virtual and digital financial assets.

“The issuance of tokenised securities showcased our strong motivation and capabilities in seizing any fresh development opportunities at the forefront of the market,” said Charles Lin, Chief Executive Officer of GF Holdings (Hong Kong) Corporation Limited. “I’m sure it will not only set up a pioneering model for the prospect of digitalized assets market in Hong Kong and beyond, but more importantly it will also increase our edge in bringing more first-class services to our clients around the world.”

Taping into the public network ecosystem on the Ethereum blockchain, the tokenised securities issued by GF Securities (Hong Kong) displays a string of merits that can make transactions extremely secure, transparent and efficient. Some of the key traits include –

  • Investors can monitor trading records via the blockchain at any time without any restrictions. Auxiliary functions such as automatic book-building, risk management and valuation assessment can be freely developed by investors due to the openness of the Ethereum blockchain.
  • Investors can also manage different digital investment portfolios using the centralized features of the network without worries about system incompatibility issues.
  • Unlike traditional assets, issuance of tokenised securities do not rely on clearing house, meaning the base of investors can be tremendously expanded given the low participation barrier, and product design can be customized with smart contract technology.

Looking forward, investors can expect more useful functions facilitating transactions of tokenised securities including derivatives-related automatic calculations. The company will continue to explore more advanced development of digital assets, unswervingly honouring its commitment to provide all-round professional services to all clients and investors.

< back to contents