DigiFT, Chainlink, and UBS Tokenize have been announced as the collaborators under a large project approved by Hong Kong under its Cyberport Blockchain and Digital Asset Pilot Subsidy Scheme. The initiative seeks to automate the distribution and lifetime administration of tokenized funds, which marks a significant progress in controlled digital finance.
DigiFT, with license in Singapore and Hong Kong will spearhead the development of the infrastructure. Chainlink will support this through offering its Digital Transfer Agent (DTA) framework and UBS Tokenize will offer tokenized products.
Building Regulated Tokenization Infrastructure
As tokenization of real-world assets (RWAs) is currently gaining traction all over the world, industry players believe that it is not sufficient to issue assets onchain.
The partnership aims to establish a regulated infrastructure that makes the maximum out of the efficiency, accessibility, and interoperability of blockchain, lowering the manual procedure and enabling institutional shareholders to save money.
In this system, the orders of investors in UBS tokenized products will be transmitted through regulated distributor smart contracts of DigiFT, processed by DTA contracts of Chainlink and executed on product contracts of UBS. These activities will adhere to CMTA Token requirements, which will make them compatible with international capital market requirements.
Industry Leaders Voice Support
Founder and Group CEO of DigiFT Henry Zhang stressed that Cyberport is in the center of Hong Kong digital transformation. This project is creating the next chapter of tokenized fund distribution one that will support real cross-border financial interoperability.
Capital Markets President at Chainlink Labs Fernando Vazquez emphasis that through the integration of regulated smart contracts with the product infrastructure of UBS we are building a radical model of institutional fund distribution. This establishes the basis of compliant, secure and effective smart contract workflows.
Kevin Loo, the CEO of DigiFT Hong Kong, emphasized on the increased role of the city, Hong Kong.
Expanding Hong Kong’s Global Role With Chainlink
The endorsement highlights the Hong Kong dedication to the promotion of regulated blockchain implementation. DigiFT is already licensed by the Monetary Authority of Singapore and Hong Kong SFC and it is positioning itself as a regional leader in institutional-level tokenization of RWA.
Cross-chain connectivity, which is a necessary attribute in the scaling of tokenized products beyond Hong Kong to other markets around the world, is made possible through the use of the Chainlink DTA framework. DigiFT will commercially test the infrastructure and offer commercial feedback to enable financial institutions to be compliant, scalable, and interoperable.
The Bigger Picture
It is estimated that tokenization will transform the global asset management industry worth US$132 trillion, and the pilot scheme in Hong Kong gives the regulated sandbox to experiment with real-life applications.
The collaboration between DigiFT, Chainlink, and UBS demonstrates the way in which traditional finance and blockchain technology can meet each other and enable institutional investors with efficiency and trust.
The project has a solid institutional support and regulatory front which makes it potentially the foundation of future infrastructure in tokenized finance, linking the financial centers of Asia to the international capitals.
