- Hong Kong, known for its progressive approach to cryptocurrencies, has invited global crypto operators to establish businesses in the country.
- This move comes after the US Securities and Exchange Commission filed consecutive lawsuits against crypto giants Binance and Coinbase this week.
- While many Western countries are cautious about cryptocurrencies, Hong Kong has adopted a different approach by actively regulating crypto assets.
A politician in Hong Kong who has taken important steps towards cryptocurrencies has called on Coinbase and other crypto firms today.
Hong Kong Invites Crypto Firms
Hong Kong, known for its progressive approach to cryptocurrencies, has invited global crypto operators to establish businesses in the country. Legislative Council member and politician Johnny Ng expressed his willingness to provide assistance and talked about possible stock listing plans for crypto trading operators such as Coinbase in a Twitter post. This move comes after the US Securities and Exchange Commission filed consecutive lawsuits against crypto giants Binance and Coinbase this week.
While many Western countries are cautious about cryptocurrencies, Hong Kong has adopted a different approach by actively regulating crypto assets. Finance Secretary Paul Chan announced the government’s commitment to creating a strong crypto and fintech ecosystem in 2023. Since then, Hong Kong has been working proactively to develop regulations and compliance measures to support the growth of the crypto industry.
Hong Kong’s crypto-friendly approach has attracted the attention of global technology giants. In January, Korean tech giant Samsung announced the launch of the Bitcoin Futures Active ETF on the Hong Kong Stock Exchange. Furthermore, in mid-February, reports emerged that Chinese officials had provided strategic approval for Hong Kong’s crypto-friendly efforts.
There is even speculation that the Chinese government may consider Hong Kong as a testbed for crypto innovations in the future. This approval has further solidified Hong Kong’s position as a leading crypto-friendly jurisdiction in the region.
Hong Kong Lays the Foundations for its CBDC
In the latest development, the Hong Kong Monetary Authority (HKMA) announced plans to lay the groundwork for a retail Central Bank Digital Currency (CBDC) application on June 9. This move aims to explore the potential benefits of CBDCs as a payment method for daily transactions and easy participation in crypto exchanges for customers.
The invitation conveyed by Legislative Council member Johnny Ng demonstrates the country’s commitment to becoming a digital hub for the crypto industry, which has seen participation from both OKX and Huobi compliance organizations currently trading on the Hong Kong Stock Exchange. At the time of writing, Coinbase has not yet responded to the offer.
