BlackRock wins approval for its first tokenised fund in Asia Pacific
What's the deal? BlackRock has received regulatory authorisation for the BlackRock HKD Digital Liquidity fund, a Hong Kong-domiciled Hong Kong dollar money market fund built to operate across traditional and digital channels. It marks the firm's first tokenised offering in Hong Kong and Asia Pacific.
How it works: The fund combines blockchain technology with a professionally managed money market fund, letting eligible investors transact via both traditional and on-chain channels. Subscriptions and redemptions can be made using fiat and digital cash, including tokenised deposits and fiat-referenced stablecoins.
It invests in high-quality, short-term Hong Kong dollar instruments such as government bills and deposits. It is also the first Hong Kong-domiciled money market fund to offer a constant net asset value to both institutional and retail investors locally.
Who's involved? Investors can use HKDAP — one of the first regulated on-chain Hong Kong dollar-backed stablecoins, issued by Standard CharteredDealroom has a profile for this one. Try Dealroom →-led Anchorpoint Financial LimitedDealroom has a profile for this one. Try Dealroom → — to subscribe and redeem. Standard Chartered will also act as custodian, fund administrator, trustee, and distributor of HKDAP.
Why now? The fund builds on BlackRock's participation in the Hong Kong Monetary Authority's Project Ensemble, which supports the development of the local tokenisation ecosystem. It adds to BlackRock's global suite of tokenised money market funds spanning the US, Europe, and Asia Pacific.
What they're saying: "We believe tokenisation has the potential to enhance how capital moves across financial markets by increasing efficiency, expanding access and enabling greater connectivity between traditional investments and digital financial infrastructure," said Susan Chan, head of APAC at BlackRock.
Dominic Maffei, chief executive officer and co-founder of Anchorpoint, said BlackRock's decision "reflects growing institutional conviction that digital assets are becoming an integral part of mainstream financial markets."
The signal: BlackRock's Cash Management Group oversees nearly $1.073trn in cash strategies, and its move into tokenised Hong Kong dollar funds shows the world's largest asset manager pushing digital cash products deeper into Asia. As traditional and digital markets converge, Hong Kong is positioning its regulatory framework as a hub for that shift.
Image credit: Generated with Gemini
