Hong Kong Program Backs Chainlink, UBS, DigiFT to Automate $132 Trillion Tokenized Fund Operations

Hong Kong – A significant collaboration between blockchain oracle provider Chainlink, global wealth manager UBS Asset Management, and regulated digital asset exchange DigiFT has been announced, aiming to automate tokenized fund operations on-chain. The initiative, revealed on September 11, 2025, operates under the Hong Kong government’s Cyberport Blockchain & Digital Asset Pilot Subsidy Scheme, marking a strategic move to streamline processes within the estimated $132 trillion global asset management industry.

The partnership seeks to replace manual processes in fund operations with a blockchain-based automated framework. This system is designed to reduce errors, accelerate settlement times, and lower costs across the entire fund lifecycle, from issuance to redemption. According to the announcement, investors will place subscription or redemption orders for UBS’s tokenized products through DigiFT’s regulated smart contracts.

Chainlink’s Digital Transfer Agent (DTA) framework will then process these transactions, recording them on-chain and triggering corresponding actions on UBS’s proprietary UBS Tokenize platform. Fernando Vazquez, President of Capital Markets at Chainlink Labs, described the project as a "major milestone" for the industry, setting a benchmark for secure and transparent fund workflows within Hong Kong’s regulatory framework. The integration demonstrates how fund issuance and lifecycle management can be automated compliantly.

The project's acceptance into Hong Kong’s Cyberport program underscores the city's commitment to fostering Web3 innovation and establishing itself as a global hub for regulated digital assets. Henry Zhang, Founder and Group CEO of DigiFT, emphasized that "Cyberport is at the heart of Hong Kong’s digital transformation," highlighting the combination of institutional partners, regulated infrastructure, and blockchain technology to advance tokenized fund distribution. Kevin Loo, Hong Kong CEO of DigiFT, added that the project strengthens Hong Kong's position in tokenized finance.

This collaboration is expected to enhance efficiency and transparency for institutional investors by leveraging smart contracts that adhere to global compliance standards, including the Capital Markets Technology Association (CMTA) Token standards. The blockchain-agnostic nature of Chainlink’s DTA framework also suggests potential for scalability and broader adoption of tokenized products beyond Hong Kong. The initiative represents a crucial step in bridging traditional finance with blockchain technology, paving the way for future capital markets.