Investor Demand for Tokenized Funds Shows Strong Growth
Retail investors in Hong Kong and mainland China have expressed significant interest in tokenized investment products, according to a recent study. The report from Aptos Labs, Boston Consulting Group, and Hang Seng Bank reveals that 61% of surveyed investors would double their fund allocations if tokenized options were available.
That’s a pretty substantial number when you think about it. The survey covered 500 retail investors across both regions, and the findings suggest there’s genuine appetite for what tokenization can offer. But it’s not just about the technology itself—investors seem more focused on practical benefits than the underlying tech.
Practical Features Drive Investor Interest
What really caught my attention was how specific the preferences were. Nearly all respondents—about 97%—said they valued features like instant settlement and 24/7 access. Transparency also ranked high on their list of priorities. Meanwhile, around 71% indicated that access to round-the-clock secondary trading would make them more likely to invest.
These preferences make sense when you consider how traditional funds operate. Settlement times can be slow, trading hours are limited, and sometimes it’s hard to get clear information about what’s happening with your investment. Tokenization seems to address these pain points directly.
Current Limitations in Hong Kong’s Market
Interestingly, tokenized funds already exist in Hong Kong, but there are limitations. Most current products only allow subscriptions and redemptions, with secondary trading mostly unavailable. This gap between what’s available and what investors want might explain some of the pent-up demand.
The global context matters too. According to data from RWAxyz, the tokenized real-world asset market currently stands at about $23 billion, showing more than 13% growth over the past month. That’s not explosive growth, but it’s steady progress.
Investor Indifference to Digital Money Types
One surprising finding was that investors didn’t show strong preferences between different types of digital money. Whether it’s central bank digital currencies, tokenized bank deposits, or regulated stablecoins, what mattered most was that they offered the same features and operated within legal frameworks.
The report suggests that as regulated stablecoins and tokenized deposits mature, demand for CBDCs in retail scenarios might actually be limited. That’s a bit counterintuitive, I think, given all the attention central bank digital currencies have been getting.
Hong Kong continues to expand its digital asset framework, with Amina Group identifying it as one of Asia’s most active regulated digital asset hubs. Despite crypto trading restrictions on the mainland, estimates suggest about 78 million Chinese citizens hold cryptocurrencies.
The report concludes that token-based infrastructure is both technically viable and commercially attractive. It links clear investor demand to what could become the next generation of financial infrastructure. But implementation will need to match those practical benefits investors are looking for—the 24/7 access, faster settlement, and transparency that seem to matter most.
