King & Wood Mallesons (KWM) is pleased to have advised Standard Chartered Bank (Hong Kong) Limited (SCBHK) in connection with the first tokenised retail money market fund in Asia Pacific, which is managed by China Asset Management (Hong Kong) Limited (ChinaAMC). SCBHK serves as the Tokenization Agent, Digital Platform Operator and Token Custodian, in addition to providing traditional fund administration and fiduciary services to the fund.
This landmark transaction marks a significant milestone in the region’s digital assets market.
Capitalising on the advanced technology of Libeara, an SC Ventures incubated tokenisation platform, SCBHK collaborated with ChinaAMC to build an ecosystem for its tokenised money market fund, with a comprehensive suite of securities services and technology solutions to enable tokenisation of the fund, fiduciary, fund administration, custody and cash services.
The KWM Hong Kong team is led by partners Andrew Fei and Cindy Shek.
“Congratulations to SCBHK and the other parties involved on achieving this amazing milestone,” said Andrew Fei. “This project highlights the transformative potential of tokenisation and digitisation in the funds sector. We look forward to continuing our exciting work in the digital assets space.”
“We are thrilled to have advised SCBHK on this pioneering transaction”, added Cindy Shek. “The successful launch of the first tokenised retail money market fund in Asia Pacific is a testament to the innovative spirit and forward-thinking approach of SCBHK and the other parties involved."
KWM has a strong track record of advising clients on various cross-border transactions and regulatory matters relating to tokenised funds, tokenised bonds, decentralised finance (DeFi), stablecoins and other digital assets. For example, KWM recently advised on the following representative matters:
- Advising Ant Digital Technologies in connection with a cross-border tokenised financing transaction, which is denominated in CNY and involved the laws of four major jurisdictions. The transaction is part of the Hong Kong Monetary Authority’s (HKMA) Project Ensemble Sandbox, which is designed to allow industry participants to conduct tokenised asset transactions in practical business scenarios.
- Advising on the first batch of spot virtual asset exchange-traded funds (ETFs) listed on the Hong Kong Stock Exchange.
- Advising Zhuhai Huafa Group Co., Ltd. on the first digitally native bonds issued by a Chinese non-financial enterprise.
- Advising the Asia Securities Industry & Financial Markets Association (ASIFMA) and its members in relation to the HKMA’s proposals to implement the Basel Committee’s regulatory capital and prudential standards for banks’ exposures to cryptoassets and other digital assets.
*Any reference to “Hong Kong” or “Hong Kong SAR” and “Macao” or “Macao SAR” shall be construed as a reference to “Hong Kong Special Administrative Region of the People’s Republic of China” and “Macao Special Administrative Region of the People’s Republic of China”.
