1、 Commissioned by:July 2024 October 2024 An Enabling Regulatory Framework for Innovation:Web3&FinTech An Enabling Regulatory Framework for Innovation:Web3&FinTech 1 Z/Yen Group, October 2024 An Enabling Regulatory Framework for Innovation:Web3&FinTech Authors Simon Mills&Mike Wardle,Z/Yen Group Commi

2、ssioned by the Financial Services Development Council Cover image created using OpenArt AI October 2024 An Enabling Regulatory Framework for Innovation:Web3&FinTech 2 Z/Yen Group, October 2024 Contents Foreword.3 Executive Summary.4 1.Introducing Web3.7 The Global FinTech Challenge The Drive Towards

3、 Web3.7 The Potential Impact Of Web3 On Financial Services.10 2.An Enabling Regulatory Framework for Innovation.11 Role of the Regulator.11 What Does an Enabling Financial Regulatory Framework Look Like?.12 What Does An Effective Regulator Look Like?.13 Regulatory Framework For Web3.15 Managing Risk

4、s In The Era Of Web3.17 Types of Web3 Service Provider.18 The Importance Of An Enabling Regulatory Framework For Decentralised Finance:A Case Study On Stablecoins.20 User Considerations With Stablecoin.22 Macro-Economic Concerns With Stablecoin.22 3.The Impact Of An Enabling Regulatory Framework On

5、Financial Innovation.24 Regulatory Approaches For Web3&Innovation In The Financial Services Industry.24 Sandboxes.26 4.Insights On Regulatory Considerations For Innovation From Hong Kongs Perspectives.28 The Views Of Hong Kongs Industry Players In The Web3 Sector.30 The Development of Regulatory Fra

6、mework for Innovation In Hong Kong.30 Potential Opportunities.32 5.Hong Kongs Progression As A Global Innovation Hub.34 The Smart Centres Index.34 6.Conclusion.40 Annex 1-Introducing Web 3.41 Annex 2 Relevant Regulations.44 Annex 3 International Approaches To FinTech Policy&Regulation.45 An Enabling