Hong Kong's government has announced a new regulatory framework for digital assets, aiming to enhance risk management and investor protection as it seeks to establish itself as a global cryptocurrency hub. The Securities and Futures Commission will regulate exchanges, custodians, and stablecoins, while also reviewing the legal framework for tokenizing real-world assets. With significant growth in tokenization, the government plans to encourage secondary market trading of tokenized ETFs and the issuance of tokenized government bonds.

El Salvador's Comisión Nacional de Activos Digitales (CNAD) is collaborating with the U.S. SEC to create a cross-border regulatory sandbox for digital assets. The constructive meeting highlighted El Salvador's innovative regulatory framework, which has attracted major crypto companies, and aims to serve as a case study for the SEC as it seeks to revise its approach to crypto regulation.