Hong Kong has expressed its desire to become the world’s leading crypto hub as the industry reels from the fallout of the collapsed crypto exchange FTX.
Hong Kong’s financial secretary since 2017, Paul Chan, spoke at a Web3 forum recently and said that a region is a good place for cryptocurrency, financial technology, and other startups to set up shop despite what has occurred in the market recently. Chan says that Hong Kong remains committed to becoming a regional cryptocurrency hub. The city’s financial secretary expressed these sentiments in October 2022, not long before Sam Bankman-Fried’s entire crypto empire collapsed and caused an industry-altering downturn and added that the city will do all within its power to attract new businesses within the industry from all over the world.
Singapore has previously been known to be somewhat of a crypto-haven but has backtracked on its stance by introducing many measures that make it difficult for crypto-related firms to set up shop – and Hong Kong is keen to step in and grab this opportunity. Chan said that since the city made its statements regarding the crypto industry, many leading technology firms and startups are considering moving their headquarters to the city or expanding there.
Chan said:
As certain crypto exchanges collapsed one after another, Hong Kong became a quality standing point for digital asset corporates.
He added to say that the city has a robust regulatory framework that “matches international norms and standards” while prohibiting those not complying with industry standards. Reports by Time indicate that the city is preparing to issue more licenses for digital asset trading firms and is planning a consultation on crypto platforms.
Hong Kong Boosts Efforts to Attract Talent from China
Secretary Chan spoke at w Web3-themed event at Cyberport on Monday, just two days after the borders between mainland China and Hong Kong reopened. According to reports by the South China Morning Post, Hong Kong is boosting its efforts to attract cryptocurrency talent from mainland China. Chan said:
I know that … some of you may have had doubts in the past about Hong Kong’s development, but have recently heard many friends speak highly of new opportunities and development potential in Hong Kong, so have come to find out.
He added:
I can tell everyone that Hong Kong is at a new historical beginning of its development, and the Web3 ecosystem is also at a new stage of development. The combination of both brought us all together today to witness a golden new beginning of Web3 development.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
