HKEX to Digitalise ETP Servicing Capabilities with Online Platform

Hong Kong Exchanges and Clearing Limited (HKEX) plans to digitize and automate the in-kind creation and redemption process for exchange-traded products (ETPs) in 2025 through a web-based platform. This platform will use Distributed Ledger Technology (DLT) and smart contracts to enhance market efficiency, streamline operations, and increase liquidity, supporting the growth of Hong Kong’s ETP market. The move aligns with HKEX’s efforts to simplify ETP processes, build on recent market innovations, and strengthen its position as an international financial center. HKEX’s ETP business has seen significant growth, with a 29% annual increase since 2020.

Resources: https://www.hkex.com.hk/News/News-Release/2024/241105news?sc_lang=en