Hong Kong to Proceed with its Global Crypto Hub Plans

Hong Kong is sticking to its mission of developing a global crypto infrastructure even in the current industry crisis environment followed by the collapse of FTX. The official news from Paul Chan, the country’s financial secretary, is that the local government and crypto regulators are ready to collaborate with fintech and crypto startups this year.

A Hotspot of Virtual Asset Firms

Radio Television Hong Kong, a public broadcasting service, reported that Chan described the country as a foundation that connects several high-quality virtual asset establishments. The country is also receiving multiple requests to establish a global crypto hub for the past two months. Many industries are showing an open willingness to expand to Hong Kong or go public in the local exchanges.

Also Read: Indonesia To Introduce a National Crypto Exchange In 2023

Supervision for The Crypto Markets

Hong Kong is currently working on providing supervision to the crypto ecosystem for optimizing the use of Web3. The lawmakers are also on the verge of creating a licensing system for virtual asset firms, and a new regulatory framework will be in place soon. This new framework will offer the same market recognition to crypto exchanges as traditional financial ones.

Also Read: Global Crypto Regulations: Changes in Crypto Law in 2022

Progress Status On Global Crypto Hub

Currently, the country’s regulators and officials are working on multiple pilot projects. Thereafter, to assess the advantages of virtual assets and related applications. One of these projects includes tokenized green bond distribution via subscription for institutional investors.

Conclusion

Hong Kong has been slowly imprinting its pro-crypto stance since 2022. It was also noted as the most crypto-ready country last year. By the end of 2022, the country launched two ETFs for crypto features and raised $70 million before the debut. It starts since last October when the officials announces that the country would not follow the steps of the Chinese crypto ban of 2021.