Binance founder Changpeng "CZ" Zhao backed Hong Kong as a potential Web3 and real-world asset hub during an August 27 book meeting in the city.
CZ Says Hong Kong Can Connect Finance With Web3
CZ said Hong Kong benefits from its status as a financial center, access to professionals from mainland China and established institutional relationships. He described Hong Kong and Web3 as a powerful combination. He also named Dubai, Abu Dhabi and the U.S. as markets positioned to benefit from more supportive digital asset policies. The event took place at Exchange Square in Central, where CZ discussed Hong Kong's financial sector, tokenized securities and the development of decentralized exchanges.
His comments represented personal forecasts rather than new Binance projects or investment commitments. Hong Kong has introduced a broader regulatory structure covering exchanges, stablecoins and tokenized products. The city's policy direction has attracted financial institutions and asset managers, following the Franklin Templeton tokenized fund launch on HashKey.
Hong Kong's RWA Market Supports Part of CZ's Forecast
CZ predicted that real-world assets would become a major area of Web3 development. He focused on tokenized securities, which can provide wider access beyond traditional market hours and national account systems. He also described stablecoins as a form of RWA because they place claims linked to fiat currencies on blockchains. Hong Kong has already moved beyond small technical tests. The Securities and Futures Commission said 13 tokenized products were offered to the public as of March 2026.
The Hong Kong Monetary Authority is also operating EnsembleTX, the pilot phase of Project Ensemble, which supports real-value transactions involving tokenized deposits and digital assets. It is scheduled to operate throughout 2026. This RWA development aligns with broader Asian institutional adoption, including Japan's 24/7 blockchain settlement plans for stocks and JGBs.
CZ Expects DEX Growth If US Pressure Continues Easing
CZ said decentralized exchanges have progressed from early platforms such as Uniswap and PancakeSwap to newer markets including Hyperliquid. He argued that better infrastructure and stronger user awareness have made DEXs more competitive. He added that U.S. regulatory pressure appeared to have eased and said continued policy changes may accelerate DEX and broader crypto growth.
The SEC and CFTC issued a joint crypto asset interpretation effective March 23, saying clearer classifications could reduce perceived regulatory risk. DEX spot volume reached about 24% of covered centralized exchange volume in July. Hong Kong's next steps include implementing its tokenized product framework, continuing EnsembleTX and developing its licensed stablecoin market.
