The Hong Kong Monetary Authority (HKMA) has launched its first Quantum Preparedness Index (QPI) to track the banking sector's readiness for quantum computing threats. The initial assessment gave the local banking sector a score of 2.3 out of 10.
The regulator aims for the sector to achieve full readiness, represented by a QPI score of 10, by 2030. The index assessed banks according to four categories: awareness, planning, pilot projects, and operational readiness.
Sector preparedness levels
A survey conducted by the HKMA found that 68% of banks had begun preparations, while 32% had yet to take any steps. About half of the banks surveyed had no formal road map for adopting post-quantum cryptography (PQC).
Around half of the respondents said quantum computing had been discussed at the board level. About a third of respondents had started exploring or testing quantum-related applications.
Cryptographic risks and pilots
The HKMA introduced a white paper on quantum preparedness alongside the QPI. It stated that distributed ledger applications and payment networks depend on cryptography and could face severe disruption if compromised.
Quantum computers running Shor's algorithm could break RSA and elliptic-curve cryptography.
The regulator urged banks to begin inventories, risk assessments and migration planning before quantum machines become available. One surveyed institution completed a proof of concept applying post-quantum cryptography to distributed-ledger connectivity, according to the white paper.
HSBC used quantum-safe technology in 2024 to move tokenized gold across distributed ledgers, as cited by the HKMA white paper.
Digital asset growth
The quantum initiative follows the HKMA's Fintech 2030 strategy launched in 2025, which made tokenization one of four pillars with over 40 initiatives. The HKMA said it would accelerate real-world asset tokenization, regularize tokenized government bond issuance, and explore tokenized Exchange Fund papers.
Hong Kong has issued three batches of tokenized green bonds totaling about HK$16.8 billion (about $2.1 billion) since 2023. The HKMA is also advancing tokenized deposits and digital-asset settlement through Project Ensemble.
In a Feb. 11, 2026 speech, Hong Kong Financial Secretary Paul Chan said banks in Hong Kong held more than HK$14 billion in digital assets under custody at the end of 2025, up about 180% year over year. Tokenized deposits in Hong Kong had reached HK$29 billion as of the end of 2025.