HK regulator publishes report on utility of e-HKD

The Hong Kong Financial Authority (HKMA) right now printed the “e-HKD Pilot Programme Part 1 Report” to debate the important thing findings and the HKMA’s evaluation of 14 pilots carried out by the 16 taking part companies below Part 1 of the e-HKD Pilot Programme.

The pilots below Part 1 confirmed that an e-HKD may add distinctive worth to the present cost ecosystem in Hong Kong in three most important areas, these embrace programmability, tokenisation, and atomic settlement. An e-HKD has the potential to facilitate sooner, extra cost-efficient, and extra inclusive transactions. It might probably additionally allow new kinds of financial transactions.

Nonetheless, the HKMA recognises that these pilots are carried out on a small scale below a managed atmosphere. Additional investigation and analysis are required to find out if these advantages might be realised at a bigger scale in real-life purposes.

The HKMA has not but decided on whether or not and when to introduce an e-HKD. The outcomes and insights gained from Part 1 of the e-HKD Pilot Programme will assist enrich the HKMA’s perspective and refine its method to the attainable implementation of e-HKD.

The following section of the programme will search to discover new use instances for an e-HKD and delve deeper into choose pilots from Part 1.

Mr Eddie Yue, Chief Govt of the HKMA, stated:

“Part 1 of the e-HKD Pilot Programme has examined many revolutionary use instances of an e-HKD and has supplied worthwhile perception to the HKMA on how an e-HKD can doubtlessly add tangible worth to companies and shoppers. These pilots have additionally raised a lot of areas for future examine. We thank all taking part companies for his or her robust curiosity within the programme, and stay up for persevering with our shut partnership with the business in our exploration of central financial institution digital currencies.”