Hong Kong’s new licensing system attracts interest from Coinbase and international crypto exchanges. Hong Kong’s prominent lawmaker, Johnny Ng, invites global virtual asset trading platforms to set up shop in the city in a significant development for the cryptocurrency industry.
The city’s new crypto retail licensing system, launched on June 1, sets the stage for more opportunities and growth in the digital asset market.
Ng, known for his strong support of Web 3.0 technology, had previously advocated for Hong Kong to explore the potential of its proposed central bank digital currency (CBDC), the e-HKD, as a stablecoin in conjunction with decentralized finance.
Hong Kong’s recent move to introduce new rules for virtual asset trading platform operators has attracted global attention. It could set an example for other countries looking to introduce retail cryptocurrency trading.
Gary Tiu, Executive Director and Head of Regulatory Affairs at Hong Kong-based crypto exchange OSL, believes this development could pave the way for increased adoption of cryptocurrencies and blockchain technology in the region.
Coinbase, one of the world’s leading crypto exchanges, is expressing strong interest in expanding into Hong Kong, despite being scrutinized by the U.S. Securities and Exchange Commission (SEC) for possible securities regulation violations.
The embrace of global cryptocurrency exchanges by Hong Kong’s new licensing system is a sign of the city’s commitment to fostering innovation and attracting top crypto industry players.
With this development, Hong Kong has the potential to become a significant centre for crypto trading and innovation, spurring economic growth and establishing itself as a leader in the evolving digital economy.
