Financial Secretary Paul Chan highlighted Hong Kong's "proactive yet prudent" approach in growing digital asset markets as he continued his trip to the "Davos Summit" and attended an address by Vice Premier He Lifeng.

On his second day at the annual World Economic Forum in Switzerland, Chan attended a breakfast meeting hosted by digital asset firm Animoca Brands where he said that finance and technology are "mutually reinforcing".

He also said that digital assets not only enhance transparency and strengthen risk management, but also help allow capital to be moved more efficiently.

The finance chief stressed that the SAR, as an international financial centre, follows the principle of "same activity, same risk, same regulation" to promote the responsible and sustainable development of digital assets.

Chan also noted the government's role in promoting tokenisation, as the city has issued three batches of tokenised bonds totalling US$2.1 billion.

Chan met senior officials from various economies, including Switzerland, Thailand and Egypt, exchanging views over the global political and economic landscape, while exploring more collaboration opportunities in areas such as finance, trade and digital transformation.

He also met the Director-General of the World Trade Organization, Ngozi Okonjo-Iweala, and reiterated the city's stance in supporting free trade.

The finance chief also encouraged tech investment firm Vista Equity Partners to expand its presence in Hong Kong in a private meeting with the firm's founder.

Photos also showed him chatting with Canadian Prime Minister Mark Carney and California governor Gavin Newsom.