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Digital Hong Kong Dollar: The Rise of Globalized Web3 Value Standards and Technological Implementation
Discussion on the Development Prospects and Technical Implementation of Digital Hong Kong Dollar
Hong Kong is accelerating the construction of infrastructure and legal environment in preparation for the launch of the digital Hong Kong dollar. As a borderless digital currency, the digital Hong Kong dollar is expected to circulate globally and become the standard for value measurement in the Web3 world.
Compared to existing stablecoins like USDT and USDC, the Digital Hong Kong Dollar has several advantages:
The launch of Digital Hong Kong Dollar will bring numerous benefits:
In terms of technical implementation, the digital Hong Kong dollar may first be issued on a private or consortium chain, but ultimately needs to be issued on a public chain to improve circulation efficiency. The deployment of smart contracts is relatively simple, with the main focus on preventing hacker attacks. In terms of compliance, only KYC needs to be conducted for primary market transactions, while secondary market circulation does not require control.
MapProtocol, as a cross-chain infrastructure, provides cross-chain data interoperability capabilities for digital Hong Kong dollars without privileged roles, helping to achieve full-chain issuance and secure circulation.
Despite some risks, such as compliance risks and reserve inadequacy risks, the digital Hong Kong dollar still represents a huge market opportunity. Banks and financial institutions can relatively easily enter this emerging field by leveraging existing Web3 infrastructure.