The Hong Kong Monetary Authority has announced six application scenarios for testing the digital Hong Kong dollar, including comprehensive payment, programmable payment, offline payment, tokenized deposits, third generation internet (Web3) transaction settlement, and tokenized asset settlement. These tests do not include cross-border payments.
As a payment option, the digital Hong Kong dollar will collaborate with payment platforms such as Octopus and Alipay, rather than operating independently. This provides consumers with an additional payment method. Compared to the digital Chinese yuan application in Mainland China, the digital Hong Kong dollar offers more convenience for consumers.
Regarding regulation, Eddie Yue, the CEO of the Hong Kong Monetary Authority, believes that the digital Hong Kong dollar does not require full real-name identification as it would not differentiate it from traditional banking applications. Instead, the digital Hong Kong dollar requires a certain level of anonymity. However, when it comes to physical payments involving high-value assets such as real estate and gold products, compliance reviews will be necessary.
Recently, the U.S. Securities and Exchange Commission filed lawsuits against Coinbase and Binance. However, the digital Hong Kong dollar does not require the same level of real-name identification as traditional banking applications. It needs a certain level of anonymity.
The introduction of the digital Hong Kong dollar aims to provide a convenient and fast payment option. The six application scenarios will help determine its effectiveness in comprehensive payment, programmable payment, offline payment, tokenized deposits, third generation internet transaction settlement, and tokenized asset settlement.
In the future, the digital Hong Kong dollar will collaborate with Octopus, Alipay, and other commercial institutions to offer more payment options for consumers. Additionally, in terms of physical payments, the digital Hong Kong dollar will undergo compliance reviews as needed to ensure legitimacy and security. The launch of the digital Hong Kong dollar will bring more convenience and choices for consumers in the Hong Kong and Macao regions.
Hong Kong's Web3 industry has been developing at a rapid pace. Cyberport, as a wholly-owned enterprise of the Hong Kong government and a policy enforcer, has been instrumental in promoting the development of the Web3 ecosystem in Hong Kong. Since the announcement of Hong Kong's Virtual Asset Development Declaration in October last year, the industry has grown rapidly.
More than 70% of the surveyed enterprises had suffered from cyber security attacks in the past year, which is a record high. Phishing attacks are the most common type of cyber security attack encountered by almost all affected enterprises. Financial Services (64.9 points) and Information and Communications Technology (63.3 points) sectors continue to be ranked in the "Manageable" category.
Hang Seng Bank is one of the banks with three selected use cases, including programmable payment for merchant reward schemes and disbursement of government qualifications. Four real-world simulation tests were successfully completed in September. Over 500 simulated digital Hong Kong dollar transactions were processed.
Standard Chartered Hong Kong was selected to participate in the HKMA's "Digital Hong Kong Dollar" Pilot Project. The project aims to test the application of analog digital Hong Kong dollars in different scenarios, especially in the absence of network or power supply. Standard Chartered said it is consolidating the data from the relevant tests and will announce the detailed results at a later date.
The Hong Kong Ballet announced today (16th) that its computer network system has been hacked by ransomware, resulting in unauthorized access to its internal computer system. HKB has immediately conducted an internal investigation, hired a network security expert to assess the situation, and reported to the police and the Office of the Privacy Commissioner for Personal Data.
The Cyberpolice International Forum, organized by the Police Force, will be held for three consecutive days from today (13) The recent hacking of Cyberport has aroused public concern over cyber security. Senior police officers and cybersecurity experts from more than 40 countries or regions, including France, Australia and Israel, participated.
Cyberport is suspected to have lost more than 400 gigabytes (GB) of personal data to a hacker group that claimed today (December 12) that the data had been "leaked" Cyberport claims that it has contacted the potentially affected persons directly and will provide them with free identity monitoring services.
Cyberport is suspected to have lost more than 400 gigabytes of personal data to a hacking group last month. The data included personal names and contact details, information on employees, former employees and job applicants, and a small amount of credit card information. Cyberport said it had contacted the potentially affected individuals directly and would provide them with free identity monitoring services by professional security consultants.
Cybersecurity platform Falcon Feedsio posted on social media that Cyberport was hacked. The hackers were in possession of the Cyberport startup's staff's identification documents, company documents, photos, etc., amounting to more than 400GB of data. The relevant information is now priced at US$300,000, equivalent to HK$2.35 million.
Hong Kong will allow individual retail investors to trade cryptocurrencies, including Bitcoin and Ethereum, starting from June. This move signifies an important step by the Hong Kong government towards opening up cryptocurrency trading and embracing innovation in the Web3 space. Additionally, the Hong Kong Monetary Authority has launched a pilot program for a digital Hong Kong dollar. While the underlying technology of virtual assets can address the issue of trustless automated transactions, the risks associated with them cannot be ignored, making them unsuitable as widely used payment tools or for expanding financial inclusion. Therefore, the 'digital Hong Kong dollar', backed by strong endorsement, has now garnered public attention as it will serve as a backbone linking fiat currency and virtual assets, providing necessary digital financial infrastructure for the development of Hong Kong's Web3 ecosystem and digital economy.
The Hong Kong Monetary Authority (HKMA) has launched a pilot plan for the digital Hong Kong dollar, and Standard Chartered Bank has become one of the participating banks. Due to geographical limitations, many loyalty reward programs currently face technical, regulatory, and tax complexities in cross-border transactions. Lin Yuandong, the Chief Executive Officer of Standard Chartered Greater Bay Area, stated that the central bank's digital currency (CBDC) would have significant importance in creating seamless and innovative cross-border digital economic capabilities within the Guangdong-Hong Kong-Macao Greater Bay Area.
Charles Li, the former Chief Executive of Hong Kong Exchanges and Clearing Limited (HKEX), has passed away at the age of 76. He made significant contributions to the development of Hong Kong's financial and securities industry. Zhang Huafeng, former member of the Legislative Council representing the financial services sector, expressed that his death is a loss to Hong Kong's financial industry and expressed eternal remembrance for him.