On June 30, 2023, The Hong Kong government revealed the creation of a pivotal initiative: the Task Force to Promote Web3 Development. This important step, spearheaded by Finance Secretary Paul Chan, includes fifteen non-official members selected from relevant market sectors, as well as key financial and government regulatory officials. The term of these unofficial members begins on July 1, 2023 and is scheduled to last two years.

The initiation of this working group follows the Government’s Policy Statement on the Development of Virtual Assets (VA) in Hong Kong, issued in October 2022. The market has warmly welcomed this policy, reflecting Hong Kong’s progressive approach for this vital sector. As VAs play an essential role in the vibrant Web3 ecosystem, the government’s decision to establish the Task Force signals its intention to promote the sustainable and responsible development of Web3.

Underlining the pivotal role of blockchain technology driving Web3, Chan highlighted its features such as disintermediation, security, transparency, and profitability. He outlined the potential for technology to alleviate challenges in various sectors, including finance, commerce, business operations, and even everyday life. As a center of international finance and innovation, Hong Kong aspires to embrace the burgeoning trend of Web3 development.

“Hong Kong seeks to lead and drive innovative exploration and development, create new application models, and strives to bring top-tier companies and talents together in the arena to build a thriving ecosystem,” Chan said. She expressed her optimism that the Task Force, a collective of industry leaders and professionals, will offer valuable advice to help transform Hong Kong into a bustling Web3 hub.

The working group includes official and unofficial members. Official members comprise several key government figures and executives from major financial and technology organizations.

The establishment of the Working Group on Promoting Web3 Development is not the only sign of Hong Kong’s active engagement with Web3. In April, the Hong Kong Web 3.0 Association was created, with the former head of the Hong Kong Monetary Authority (HKMA) at its helm. Then, in June, the Hong Kong government released a report titled ‘Development of Web 3.0 Technologies in Selected Locations’, further cementing its position at the forefront of the Web3 wave.