By seamlessly integrating the traditional money market fund into blockchain ecosystem, this new offering provides investors with a flexible, transparent, and compliant option for "on-chain" yield generation.

 

CSOP Hong Kong dollar money market ETF unlisted tokenised class allows investors to invest in CSOP’s Hong Kong dollar money market fund via digital tokens for the first time. The underlying fund primarily invests in HKD-denominated short-term deposits and high-quality money market instruments, aiming to achieve a return in Hong Kong dollars in line with prevailing money market rates.

 

This creates an innovative tool tailored to meet on-chain demands for risk management and steady yield generation, while serving as an additional effective asset allocation solution for cryptocurrency holders seeking to hedge against the cyclical market volatility of virtual assets.

 

HSBC acts as the tokenisation agent, trustee, and registrar for the ETF, providing core infrastructure support for the tokenised issuance. This also marks the first time HSBC has offered full digital asset services for a money market fund in Hong Kong. By introducing this tokenised class, the fund also unlocks key blockchain-native benefits—including record-keeping and traceability of asset ownership and transaction history, and highly transparent, efficient settlement.

 

To further expand distribution channels beyond eligible banks and brokerages, CSOP signed an MoU with OSL. Under the MOU, for a period of six months, CSOP will collaborate with OSL’s SFC-licensed virtual asset trading platform ( VATP ) on an exclusive basis in respect of onboarding the new tokenised share class of the money market ETF, supporting the subscription and redemption processes for investors.

 

This tripartite cooperation sets another milestone in enhancing Hong Kong's integration of traditional finance and tokenisation ecosystem. By leveraging HSBC's robust financial infrastructure and digital assts capabilities, alongside OSL's extensive digital asset business network, CSOP has realized compliant blockchain-based issuance and asset management abilities for its money market funds, while tapping into a broader "on-chain" client base, according to a statement issued on June 5.

 

In recent years, market has seen strong demand for tokenised assets. According to a recent market report, the global asset tokenisation market is projected to reach USD 130.67 trillion ( approximately HKD 1,019.23 trillion ) by 2035, representing an estimated compound annual growth rate ( CAGR ) of 45.83% from 2026 to 2035. Within this space, the momentum of tokenised financial assets is also building quickly.

 

Various industry leaders from the financial and digital asset sectors attended CSOP's Inaugural Tokenised Product Press Conference & CSOP x OSL MoU Signing Ceremony held on June 5, sharing key trends and forward-looking perspectives on asset tokenisation during the panels.

 

Ding Chen, chief executive officer of CSOP, says: "As the largest ETF issuer in Hong Kong, CSOP stays ahead of the curve and strive to deliver innovative and diversified products to investors. We are deeply honored to partner with HSBC and OSL, pioneers across both traditional finance and digital asset ecosystems to launch this initiative.

 

“This marks a pivotal step in our digital asset strategy. Combining HSBC's exceptional tokenisation services, CSOP's strength in asset management, and OSL's expertise in the virtual asset space, we will unlock more opportunities for on-chain tokenised assets for both local and international investors, addressing diverse market demands. We look forward to working with partners to drive the prosperity of Hong Kong's digital asset ecosystem.”

 

Kevin Cui, executive director and chief executive officer of OSL Group, says: “The listing of this fund further enriches OSL's product offerings for our clients and reaffirms Hong Kong's potential to foster a vibrant tokenised ecosystem. Leveraging OSL's strengths in digital asset distribution and liquidity, we are excited to partner with CSOP and HSBC to broaden investor access to tokenised assets. Furthermore, our collaboration with CSOP extends far beyond the launch of a single product; we look forward to exploring new opportunities with our partners to bring innovative products to the market.”

 

As Asia's leading ETF issuer, CSOP is committed to bridging traditional and digital asset ecosystems, and has made Web3.0 a key strategic priority for the year. The asset manager also plans to expand its digital asset pipeline by introducing a broader range of tokenised fund categories.