London Metal Exchange studies tokenizing off-warrant metal in Hong Kong, pilot set for 2027
- —Pilot for tokenized off-warrant metal in Hong Kong targeted for 2027
- —Aims include faster title transfers, verification, collateral use and fraud reduction
- —Hong Kong warehouse capacity target exceeds 100,000 tonnes of copper, aluminum and nickel
- —Initiative remains a study, with no live tokens or products
Why it matters: Tokenized commodities could broaden collateral and liquidity in metals markets, though legal recognition of token ownership remains unresolved.
Source: Crypto Briefing