Hong Kong is preparing to issue a new batch of government-backed digital green bonds, deepening its push toward blockchain-based finance as it seeks to position itself as a leading global hub for tokenized assets.
The offering, Hong Kong’s third digital bond sale since 2023, will be denominated in US dollars, euros, offshore yuan and Hong Kong dollars, Bloomberg reported, citing sources familiar with the issuance. The price could be finalized today.
These are so-called digital native bonds, which means that they are created and settled entirely on blockchain-based platforms. The infrastructure for this latest edition will come from HSBC.
The green label indicates that the funds raised will go towards environmental or climate-focused projects. The city has been pushing to become a blockchain hub, while facing competition from other regions including Singapore and Dubai.
The appetite for blockchain-based debt appears to be growing. According to the report, corporations have issued at least six tokenized bonds in the city so far, raising a combined total of $1 billion.
Recent issuers include state-backed companies such as Shenzhen Futian Investment Holdings and Shandong Hi-Speed Holdings Group.
S&P gave the bonds an AA+ rating. According to the company, the risks linked to digital issuance are cushioned by a security system that allows bonds to be returned to traditional systems if necessary.
