Fosun aims for a tokenization target of 100 billion HKD assets, launching a new platform in Hong Kong.

Fosun International, a comprehensive enterprise group in China, is actively engaged in the field of asset tokenization, launching an ambitious platform in Hong Kong with the goal of achieving a custody scale of 100 billion HKD in assets within five years, seizing the development opportunities presented by Hong Kong as a global digital financial innovation hub. This initiative marks a speeding up of mainland enterprises' expansion in the virtual asset sector.

Comprehensive RWA service platform launched

According to the China Daily, Fosun International officially launched the FinRWA platform through its wealth technology subsidiary Finloop on Wednesday, claiming it to be the first comprehensive tokenization money market fund platform in Hong Kong that covers multiple coins. The platform has already introduced the world's first tokenized money market fund denominated in Renminbi, and also offers fund products in US dollars and Hong Kong dollars.

Finloop CEO Cai Hua has proposed an ambitious goal of reaching a custody scale of HKD 100 billion within five years, which represents a fivefold increase from the company's current asset base of HKD 20 billion. This goal reflects Fosun's full confidence in the regulatory environment for digital assets in Hong Kong and the market potential.

Connecting traditional and digital finance

The FinRWA platform addresses a key pain point in the proliferation of digital assets: through a single interface, investors can manage both virtual asset trading and traditional securities investment simultaneously. This unified management approach is primarily aimed at institutional clients, allowing them to meet the demand for seamless integration between tokenization of real-world assets (RWA) and traditional investment operations.

RWA tokenization refers to the conversion of traditional investment assets such as real estate, stocks, and bonds into blockchain-based digital tokens that can be traded on a digital network while retaining the support of the underlying assets. This technology provides higher liquidity, divisible ownership, and 24/7 trading capabilities for assets that traditionally have poor liquidity.

Fosun's move benefits from the successful upgrade of its securities department's virtual asset trading service license under the Hong Kong regulatory framework. Currently, more than 40 companies have expanded their license scope to seize the development opportunities in the digital asset market.

The government's strategic effectiveness is notable.

The launch of the FinRWA platform proves that the Hong Kong government's strategy to attract digital financial enterprises has been effective. In 2024, Finloop will relocate to Hong Kong with the support of the Hong Kong Special Administrative Region Government's "Office for Attracting Strategic Enterprises, OASES." OASES has listed digital finance as one of the five key areas for economic development, attracting businesses to settle with clear regulatory policies and incentive measures.

The Director of OASES, Yan Jingshun, stated: "Leading companies in the industry expanding their business in Hong Kong will bring new ideas for asset tokenization and promote the development of the ecosystem." The Hong Kong government's strategy has already begun to show results, with many mainland companies and global giants announcing their expansion plans in Hong Kong. For example, the e-commerce group JD.com and Standard Chartered Bank have both expressed their intention to apply for stablecoin issuance licenses based on the forthcoming "Stablecoin Regulations" in Hong Kong.

Market Timing and Competitive Positioning

The launch of the Fosun platform coincides with the second digital asset policy statement released by the Hong Kong government in June, which emphasizes the need to expand the supply of tokenized products and aims to position Hong Kong as a global innovation hub. Cai Hua believes that the gradual migration of traditional financial assets to blockchain and the tokenization of securities will become an irreversible trend, and Fosun's initiative is a strategic layout that aligns with this trend.

Fosun plans to establish strategic partnerships with stablecoin issuers, RWA investment banks, and cryptocurrency exchanges to build a comprehensive ecosystem covering Token issuance, trading, and custody. This integration strategy aims to cover the entire value chain of tokenization.

For Hong Kong, the influx of mainland capital and the professional technology of digital asset infrastructure proves the success of its regulatory model and enhances Hong Kong's competitive advantage compared to other Asian financial centers like Singapore. Hong Kong is striving to become a global leader in digital finance through policy support and market openness.

Conclusion

Fosun International is entering the asset tokenization field through the FinRWA platform, demonstrating its firm confidence in the potential of the Hong Kong digital financial market. Combined with the Hong Kong government's supportive policies and clear regulatory framework, Fosun's strategic layout not only promotes the integration of traditional finance and digital finance but also injects new momentum into the internationalization of the Renminbi and the competitiveness of Chinese enterprises in the global digital economy. As more companies join Hong Kong's digital asset ecosystem, Hong Kong is expected to solidify its position as a global center for digital financial innovation.