Hong Kong plans gold token backed by 400-ounce bars for bank transactions

Hong Kong has announced plans to introduce a gold-backed token representing a standard 400-ounce bullion bar as the city expands blockchain-based trading and settlement services. Summary Hong Kong has announced plans for a gold token representing a standard 400-ounce gold bar. The token will use the city’s HAU gold price reference and support a planned interbank trading project. Officials have not named the token’s issuer, custodian, blockchain or launch date. A separate gold transaction involving Zhaojin Mining and China Construction Bank (Asia) has already taken place. Unlike PAXG and XAUT, the proposed Hong Kong token has not been confirmed for retail investors. During Hong Kong FinTech Week on November 2, Secretary for Financial Services and the Treasury Christopher Hui Ching-yu outlined an interbank gold-token project that would use the city’s HAU gold price reference. The proposal builds on Project Ensemble, the Hong Kong Monetary Authority’s (HKMA) initiative for testing digital assets and tokenized bank deposits. Hong Kong plans gold token for interbank trading A standard 400-ounce gold bar is commonly used in institutional bullion markets, where banks and professional trad...