The Hong Kong Monetary Authority (HKMA) has announced the launch of the second phase of its central bank digital currency (CBDC) pilot program, known as e-HKD. The second phase will focus on advanced use cases for digital money, such as e-HKD and tokenized deposits for individuals and businesses. The initiative, now rebranded as Project e-HKD+, has engaged 11 firms from various sectors to investigate e-HKD applications in areas such as tokenized asset settlement, programmability, and offline payments. The results of Phase 2 will provide insights into the challenges of creating a digital money ecosystem and will help develop the necessary technology and legal framework to support potential future issuance of e-HKD. The HKMA will establish the e-HKD Industry Forum to foster collaboration among participating institutions. An e-HKD sandbox will be available for pilot participants to facilitate prototyping and testing of use cases, with key findings expected to be shared with the public by the end of next year.



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