Hong Kong-based major property firm, Stan Group seeks a regulatory permit for its real estate assets. The firm is planning to meet the regulatory body of Hong Kong in the upcoming year. It wants the approval to sale the tokenized properties via blockchain technology.
If the application gets approval, Hong Kong will witness the legal tokens trade with real estate for the first time. The US-China trade war has slowed down global economics and the local property market as well. Therefore, the firm wants local permission from the Securities and Futures Commission (SFC) to make use of blockchain tokens.
The firm has previously signed an MoU with Liquefy. The latter is a local security token insurance platform. The memorandum was signed to know the potential of tokenized real estate.
Stan Tang Yiu-sing, the chairman of Stan Group says that the tokenization of real state will boost liquidity in the real estate. The founder of the SFC-licensed advisory, Edwin Lee says that the securities token trading has a complex regulatory structure in Hong Kong. It needs a lot of paperwork regarding anti-money laundering processes.
Recently, in a G20 meeting, the finance ministers and central bank governors made a joint request to the regulators for tracking the crypto related risks. These financial executives want the FSB and standard setting firms to take action regarding the risks.