Virtual asset-related companies have expressed a lot of interest in Hong Kong as the city works to regain its status as a major global center for cryptocurrencies with more accommodative regulation policies.
Since October 2022, more than 80 crypto-related businesses have expressed interest in setting up shops in the city, according to Christian Hui, Secretary for Financial Services and the Treasury in Hong Kong.
These firms, according to Hui, comprise virtual asset trading platforms, blockchain infrastructure providers, blockchain network security providers, virtual currency storage providers, payment providers, and other Web3-related initiatives.
The majority of these businesses are Chinese, but there are also some from Canada, the US, Singapore, the UK, and EU (European Union) nations that have expressed interest in relocating to Hong Kong.
The “implementation details” of the policy statement, regulation requirements, visa requirements for talent entry, and tailored support measures for the virtual assets and Web3 sector were all things that Hui observed these businesses were interested in learning more about.
The Hong Kong government's policy statement on Virtual Asset Development, which outlined its position on virtual assets, was published in October 2022, sparking a spike in interest.
Amid growing worry about Hong Kong's legislative uncertainty on cryptocurrency and the rise of possible competitors like Singapore and Dubai, which are seen as more welcoming to the industry, Hong Kong, once the world's crypto center, began to lose its place in mid-2022.
However, in an effort to re-entice crypto businesses, the city has lately taken a more pro-crypto position.
The Securities and Futures Commission (SFC) of Hong Kong released a comment document in February outlining its suggested regulation framework for cryptocurrency trading sites. Beginning in June, the new regulations will go into force and mandate SFC licensing for all crypto sites.
The regulator added that provided protections like knowledge exams, risk profiles, and sensible exposure limits are in place, individual buyers will be permitted to trade specific “large-cap tokens” on authorized platforms.
Before this, the Hong Kong government gave private buyers access to exchange-traded funds (ETFs) that invested in Bitcoin and ether contracts from CME Group (CME).
We place a lot of weight on the virtual asset (VA) and Web3, according to Hui, and Hong Kong is well-positioned to be a prominent center for Web3 in Asia and beyond. He also mentioned the HK$50 million ($6.4 million) budgetary provision made this year to support the city's Web3 industry.
As a reminder, WikiBit is ready to help you search the qualifications and reputation of projects in a bid to protect you from hidden dangers in this risky industry!
iOS: t.ly/UUCj
Android: t.ly/cfYt
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
0.00