The Hong Kong government has officially renamed "virtual assets" to "digital assets". Should Taiwan follow suit?

The Hong Kong government released the "Hong Kong Digital Asset Development Policy Declaration 2.0" this week, which shows the official change of "virtual assets" to "digital assets", should Taiwan follow suit? (Synopsis: Animoca Brands, Standard Chartered Bank and HKT jointly prepare to issue Hong Kong dollar stablecoins to target cross-border payments) (Background supplement: Full interpretation of Hong Kong's Stablecoin Ordinance: from definition, regulatory framework, eligibility to market impact) The Hong Kong government yesterday (26) announced the "Hong Kong Digital Asset Development Policy Declaration 2.0", which clarifies Hong Kong's determination to become a "digital financial center". This document focuses on the four cores of LEAP (Legal, Expanding, Advancing, People), aiming to comprehensively promote the development of digital assets. One of the highlights is that the SFC will implement a comprehensive licensing regime for exchanges, custodians and stablecoin issuers. It is worth noting that from August 1, stablecoins will also be fully regulated and must be listed on the road. Another notable change in this policy update is that the official name of "virtual assets" is "digital assets". Such a change in terminology is undoubtedly an attempt to dilute the sense of instability carried by the literal "virtual" and instead emphasize the potential of digital assets to go hand in hand with traditional finance. Some officials said: "Changing the name to digital assets sounds more positive, and it also shows that Hong Kong will develop not only crypto, but the digitization of the entire financial product in the future." Will Taiwan follow suit? Perhaps some readers will find that Taiwanese officials are also generally inclined to use virtual currencies (mobile areas are more inclined to use cryptocurrencies), such as the "Virtual Asset Services Law" previously announced by the FSC, whether the Hong Kong government's move will affect Taiwan's official name change in the future, you can observe again. However, what is more pragmatic is that compared with Hong Kong's positive style, Taiwan generally still adheres to the conservative style of "first prevent risks, then talk about innovation" in financial innovation, in the rapidly changing Web3 era, although this can prevent risks, but it is also easy to miss opportunities for growth, how to find a pace suitable for Taiwan and industrial development, is the goal that everyone needs to work together. Details of the Hong Kong Digital Asset Development Policy Declaration 2.0 The "L" stands for legal and regulatory optimization. The Declaration proposes to establish a unified and comprehensive framework for digital asset service providers, covering trading platforms, stablecoin issuers, custody and other trading services. The SFC will act as the lead issuer, with the FSTB and HKMA reviewing legislation in tandem to promote real-world asset (RWA) and bond tokenisation, in line with the latest guidance from the International Organization of Securities Commissions (IOSCO) and the Financial Stability Board. Tokenized products move toward normalcy "E" focuses on expanding tokenized products. The government plans to turn the issuance of tokenized government bonds from experimental to routine, clarify the stamp duty arrangements for tokenized ETFs, and cooperate with licensed digital asset platforms for secondary market transactions. The authorities are also encouraging the market to convert multiple assets such as gold, non-ferrous metals, renewable energy or income rights from electric vehicle charging stations into tokens, demonstrating that blockchain can reduce settlement costs and increase transparency. Application scenarios and cross-border cooperation "A" and "P" focus on application scenarios and talent cooperation respectively. The stablecoin issuer license will be on the road on August 1, 2025, and the government welcomes proposals from licensees for public or commercial applications. Cyberport will launch a pilot funding scheme for blockchain and digital assets to support projects with market impact. At the same time, Hong Kong will work with academia and international partners to nurture entrepreneurs, researchers and technologists to inject manpower into the value chain. Financial Secretary Paul Chan pointed out in a government press release: "Digital assets are an important part of fintech. The Declaration demonstrates our support for innovation, combined with robust regulation, to connect the digital asset ecosystem to the real economy." The Secretary for the FST, Hui Chengyu, added, "The new framework puts Hong Kong at the forefront of digital transformation and provides a clear roadmap for businesses and investors." The FSTB and the SFC will launch a public consultation on the trading and custody licensing mechanism, the details of which will be announced soon. Through the "LEAP" framework, Hong Kong aims to further strengthen its position as an international financial centre by promoting innovation while ensuring that risks are managed. The Hong Kong Digital Asset Development Policy Declaration 2.0 marks Hong Kong's accelerated embrace of blockchain and cryptocurrencies, providing a new gateway for global players to enter the Asian market and injecting more vitality into the local financial system. Related reports Stablecoin "Sino-US route dispute": Hong Kong's B-side breakthrough and the mainstream Yang conspiracy in the United States How does a comparative analysis of the Hong Kong and US stablecoin laws affect the global Web3 ecosystem? You can buy funds with stablecoins! Hong Kong Victory Securities established "Victory VSG" virtual asset multi-strategy fund (Hong Kong officials have officially renamed "virtual assets" to "digital assets", should Taiwan follow? This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".