The new collaborations between ChainLink Labs, UBS Asset Management and Digift aim to overhaul the way investment funds are created and managed.
On September 11, the three companies announced that they are building an automated framework for tokenized products under Hong Kong’s Cyberport Program.
The Cyberport Blockchain & Digital Asset Pilot Subsidy Scheme is a government-supported initiative that encourages Web3 experiments in Hong Kong. This scheme provides funding and regulatory sandboxes for projects that could serve as templates for wider adoption.
Digift founder Henry Zhang said:
“Cyberport is at the heart of Hong Kong’s digital transformation. Through this project, we are combining institutional partners, regulated infrastructure and blockchain technology to build the next chapter of tokenized fund distribution.”
Asset tokenization
According to the statement, the three companies’ initiatives focus on replacing the manual process of fund management with blockchain-based automation.
The system is expected to reduce $132 trillion global asset management errors, streamline transfers and reduce costs by embedding smart contracts at each stage, from issuance to redemption.
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It is brought about by encryption
While UBS contributes its own UBS tokenization platform, ChainLink brings digital transfer agents, a tool that validates and records transactions in chains. Licensed in Singapore and Hong Kong, Digift offers a regulated distribution channel.
These components are designed to allow investors to place orders and withdrawals through smart contracts that automatically trigger the actions they need in UBS’s tokenized funds.
Chainlink Labs executive Fernando Vazquez described the project as an industry landmark. He said the integration demonstrates how funds can be automated in a way that maintains compliance and transparency within Hong Kong’s financial system.
According to him, the framework shows what future capital markets will look like when blockchain technology is fully integrated into operations.
If successful, this collaboration could accelerate the speed at which tokenized financial products move from pilot programs to mainstream investment delivery.
