Quinn sees tokenization as an efficient trading mechanism that ensures asset liquidity and is more cost-effective than outdated methods. Therefore, the bank is investing in its tokenization product line, focusing on assets such as gold and bonds. However, Quinn clarified that HSBC will only work with tokens that offer real benefits, as the underlying asset is crucial. On the other hand, the bank has no intention to engage with cryptocurrencies.
Quinn believes that theoretically, any asset can be tokenized, but its meaningfulness and value are key criteria for HSBC. Additionally, predictability of the tokens is also essential. He expressed confidence that by 2024, tokenized assets will be as liquid as traditional assets. In late 2020, HSBC and Ant Group, a Chinese company, successfully completed the first intra-bank transaction using tokenized deposits.