Amid the surge of global fintech advancements, Web3.0 technology is progressively reshaping the financial landscape and ushering in an era of boundless possibilities through its decentralized nature, intelligent capabilities, and seamless integration of real-world data. On October 31, the “Transforming Financial Ecosystems: A High-Level Dialogue between Financial Institutions and Web3.0 Leadership”, co-hosted by Hong Kong Compliance Association (HKCA), Chinese Financial Association of Hong Kong (HCFA), Matrixport and GPTX, was successfully held in Hong Kong. This gathering brought together political representatives, academic authorities, leaders of financial institutions and technology experts, to collaboratively explore the ways in which Web3.0 is shaping the future of finance and invigorating Hong Kong’s evolution as an international financial center.
Exploring Web3.0: A Comprehensive Upgrade from Technological Transformation to Policy Support
Kicking off the proceedings was an opening address by Professor Guo Yike, Provost of Hong Kong University of Science and Technology (HKUST) and Director of Hong Kong Generative AI Research and Development Center (HKGAI). His address focused on the potential of decentralized AI, emphasizing the challenges of computational monopolies and the importance of scaling existing algorithms. He stated: “To break the monopolistic hold in AI, we need to leverage decentralized systems that allow for the collaborative use of diverse computational resources worldwide. This approach not only democratizes access to AI but also enhances privacy, security, and fosters innovation.” Professor Guo highlighted Hong Kong’s unique position to lead this shift, utilizing its technological infrastructure and strategic geopolitical advantage.
Professor Yike Guo, Provost of HKUST and Director of HKGAI delivers an opening speech.
Duncan Chiu, HKSAR Legislative Council Member representing the Technology and Innovation Constituency, highlighted the transformative integration of blockchain technology with traditional and digital financial systems. He noted, “In the next two decades, we expect to see all traditional financial products, such as money markets, debts, bonds, and equities, transition to blockchain due to the efficiency and integration benefits. This transformation will include the co-development of Central Bank Digital Currencies (CBDCs) and stablecoins, which will serve as easy and efficient bridges in the exchange between fiat and crypto.” He emphasized the ongoing trials and future regulatory frameworks for stablecoins in Hong Kong, aiming to foster a stable environment that supports digital assets within a structured and trustworthy framework. Chiu’s vision includes a fully digitized and blockchain-based financial system, where traditional and emerging financial products coexist and interact seamlessly within a regulated, efficient, and transparent ecosystem.
The Honourable Duncan Chiu, HKSAR Legislative Council Member, Technology and Innovation Constituency, delivers a keynote speech.
Hong Kong Compliance Association: Enhancing Financial Innovation and Compliance Practices
As the global financial landscape evolves at an unprecedented pace, the demand for robust compliance and regulatory frameworks has become increasingly urgent. Against this backdrop, the official establishment of HKCA marks a significant milestone in financial compliance in Hong Kong.
Hong Kong Compliance Association Inauguration Ceremony
HKCA will serve as an essential platform for fostering exchanges, sharing experiences, and promoting information sharing across finance, technology, Web3.0, and artificial intelligence sectors, etc. It targets to promoting dialogue and cooperation in compliance, leading innovation, and focusing on localized development while embracing globalization, solidifying Hong Kong’s competitiveness and influence as an international financial center.
Hong Kong Web3.0: Navigating Opportunities and Challenges
This event brought together industry leaders from various fields, featuring three key panel discussions that concentrated on pressing issues in the Web3.0 landscape. Attendees exchanged invaluable insights, illuminating the opportunities and challenges facing Hong Kong’s Web3.0 and financial ecosystems while exploring pathways to cultivate a more dynamic financial future that adheres to regulatory requirements.
The first panel discussion, “Hong Kong’s Art of Balance: Leading the Future of Web3.0”, delved into how Hong Kong navigates the delicate balance between fostering rapid innovation in Web3.0 and establishing a robust regulatory framework. Participants underscored the critical importance of advancing industry development in tandem with regulatory innovation to sustain Hong Kong’s competitiveness in the global financial arena.
Panel Discussion: “Hong Kong’s Art of Balance: Leading the Future of Web3.0”
From left to right: Alex Yang, Vice Chairman of HCFA and Founder & CEO of Volmart (Moderator); Ophelia Gao, Director of HKCA and Founder & CEO of GPTX; The Honourable Duncan Chiu, HKSAR Legislative Council Member of the Technology and Innovation Constituency; Jihan Wu, Chairman & Co-Founder of Matrixport and Chairman & CEO of Bitdeer; and Terry Yung, CIO of BOC Life
In the “Blockchain Technology: Pushing the Boundaries of Financial Markets” themed panel, attendees focused on one of the key driving forces of financial transformation — blockchain technology. The discussion explored the transformative impact of blockchain on financial markets, emphasizing its vast potential to enhance financial transparency and efficiency, thereby unlocking limitless possibilities for market development.
Panel Discussion: “Blockchain Technology: Pushing the Boundaries of Financial Markets”
From left to right: Cynthia Wu, COO of Matrixport (Moderator); Niki Ariyasinghe, Head of Business Development for Asia-Pacific and the Middle East of Chainlink Labs; Giselle Lai, Associate Investment Director of Fidelity International; Benjamin Chodroff, Group Head of HSBC Labs of HSBC; and Seth Yan, Senior Director of Business Strategy of Matrixdock
The burgeoning cryptocurrency ETFs market presents both opportunities and challenges. The panel discussion titled “Crypto ETFs in Asia and the U.S.: New Opportunities and Challenges” gathered leaders from financial institutions and association representatives to examine the latest developments and emerging trends in the cryptocurrency ETFs markets in Asia and the U.S.. Participants expressed confidence that the rise of cryptocurrency ETFs will reshape the investment landscape.
Panel Discussion: “Crypto ETFs in Asia and the U.S.: New Opportunities and Challenges”
From left to right: Rebecca Smith, Head of Strategy of Matrixport (Moderator); Jenny Chow, Chairman of RegTech Association of Hong Kong; Wayne Yang, Managing Director and Group Head for Greater China of Nomura; Hanna Wang, Head of Product Development and Active Strategies Sales of Mirae Asset; and Zhu Liu, Director of the Index Investments Group of FTSE Russell.
This high-level dialogue served as a platform for industry professionals to engage in meaningful exchanges and collaborations, articulating a clear vision for the future development of Hong Kong’s financial sector. Attendees reaffirmed their commitment to enhancing communication and cooperation, working collaboratively to drive innovation and elevate the financial industry in Hong Kong.
Looking ahead, with the continuous development and proliferation of Web3.0 technology, Hong Kong’s position as an international financial center is poised for further consolidation. At the same time, emerging technologies such as blockchain and artificial intelligence will present additional opportunities and challenges for Hong Kong’s financial sector. Therefore, the industry must remain vigilant in tracking the evolution of these technologies, intensify its efforts in technological research and development, as well as foster innovative applications. By fostering a seamless integration of finance and technology, while adhering to regulatory compliance, it can propel Hong Kong’s financial sector toward a vibrant future, infused with renewed momentum.
