HSBC launches retail tokenized gold products in Hong Kong

Asia • March 27, 2024, 3:07AM EDT

Published 1 minute earlier on

Quick Take

Retail investors in Hong Kong can get access to tokenized gold via HSBC’s online banking website and mobile app.
The HSBC Gold Token is built with the bank’s digital asset platform, HSBC Orion.

HSBC has launched tokenized gold products for retail clients in Hong Kong as the local government continues its drive for real-world asset tokenization.

The financial services company said in a statement on Wednesday that retail customers can access the HSBC Gold Token via online banking and the bank’s mobile app. “The launch marks the first time HSBC's private distributed ledger is being used to tokenise a retail investment product,” it said in the statement.

The bank built the HSBC Gold Token with its digital assets platform, HSBC Orion, and has previously launched digital bonds in Hong Kong and Luxembourg, according to the press release.

“We are proud that HSBC Gold Token, powered by HSBC Orion, is the first retail product in Hong Kong that is based on distributed ledger technology, as authorised by the Securities and Futures Commission,” said Maggie Ng, general manager and head of wealth and personal banking Hong Kong at HSBC.

The launch of retail tokenized gold products comes as HSBC has explored more financial use cases with blockchain technology. In November 2023, HSBC announced plans to offer a custody service for digital assets, including tokenized securities, in partnership with Metaco, a Swiss-based crypto firm. HSBC also launched a platform in November to tokenize ownership of physical gold held in its London vault.

Tokenization has become an emerging trend in the traditional finance industry. For example, SC Ventures — the investment and innovation arm of the Standard Chartered bank — launched a tokenization platform called Libeara in November.

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About Author

Timmy Shen is an Asia editor for The Block. Previously, he wrote about crypto and Web3 for Forkast.News from Taiwan after spending more than three years in Beijing covering finance, entertainment business and current affairs at Caixin Global and Chinese tech at TechNode. His China-related reporting has also appeared in The Guardian. When he's not chasing headlines, you'll find him savoring hot pot and shabu shabu in a Taipei local haunt. Timmy holds an MS degree from Columbia University Graduate School of Journalism. Send tips to [email protected] or get in touch on X/Telegram @timmyhmshen.