Ant Digital Technologies, a leading blockchain technology service provider, recently participated in the establishment of the first blockchain-enabled limited partnership fund in Hong Kong (the “LPF”) that is dedicated to the ESG (Environmental, Social, and Governance) sector.
Leveraging an innovative “parallel blockchain register” technical architecture and Ant Digital Technologies’ blockchain solutions, the LPF achieves digital recording of fund interests and transparent management of ESG asset performance metrics. The LPF provides global investors with an efficient and trustworthy digital tool to participate in China’s green economic transformation. This project highlights the unique advantages of integrating blockchain technology with traditional finance, further solidifying Hong Kong’s position as an international hub for green finance and digital assets.
Ant Digital Technologies is the independent technology commercialisation arm of Ant Group. Leveraging its expertise in technological innovation and industry implementation, Ant Digital Technologies focuses on cutting-edge fields such as blockchain, privacy computing, the Internet of Things (IoT), security technology, and cloud-native solutions, providing robust and advanced digital technology solutions to enable digital transformation across various industries.
In this landmark project, King & Wood Mallesons (“KWM”) collaborated across its Hong Kong and Shanghai offices to deliver comprehensive multi-jurisdictional legal services. The project was led by Jingjing Jiang (Partner in the Corporate and Securities Group in Hong Kong and Head of Hong Kong Funds Practice), Andrew Fei (Partner in the Banking & Finance Group in Hong Kong), and HU Zhe (Eddie) (Partner in the Banking & Finance Department in Shanghai). Drawing on the team’s extensive experience in fund formation, tokenisation, blockchain technology, web3, financial innovation and cross-border ESG investments, KWM successfully structured a transaction that balances technical feasibility and regulatory compliance. The KWM team also supported relevant stakeholders by conducting due diligence on the target green energy assets as well as preparing and negotiating the full suite of fund, finance and tokenisation documents. Additional KWM team members involved in the project include Phyllis Xie, Aaron Zhu, Michael Li, Jiani Yang, and Kaiyue Xu.
Jingjing Jiang commented: “As an LPF in Hong Kong dedicated to ESG, this project not only offers investors opportunities to participate in China’s green economic transformation, it also leverages blockchain technology to facilitate effective asset transparency management. The LPF’s innovative structure has added new momentum to ESG investments while providing meaningful practical insights for Hong Kong’s growth as an international green and digital finance hub. We are delighted to be part of this milestone project and to support Ant Digital Technologies in its digitalisation efforts within the green finance sector.”
Andrew Fei added: “We are pleased to collaborate with Ant Digital Technologies, the leading blockchain technology service provider for this innovative investment fund. The integration of blockchain technology and fund management further highlights the tremendous potential of web3 to empower the financial and ESG sectors. We look forward to further collaboration with Ant Digital Technologies in the near future.”
HU Zhe (Eddie) commented: “We are thrilled to provide comprehensive support to Ant Digital Technologies in connection with this highly innovative project. We look forward to witnessing the LPF’s long-term impact in advancing sustainable investment goals, as it effectively connects overseas investors with high-quality domestic assets.”
*Any reference to “Hong Kong” or “Hong Kong SAR” shall be construed as a reference to the “Hong Kong Special Administrative Region of the People’s Republic of China”.
