The Virtual Asset Consortium of Hong Kong (HKVAC) is a blockchain infrastructure services provider. The platform recently delisted XRP out of the top 5 crypto global index. In place of XRP, the platform added Solana as the new listing.
The firm has been making other changes as well such as replacing the Tron token with Avax based on the recent market fluctuations during the last month. Not only that the platform has also shared the update to make changes to its top 5, top 10, and overall cryptocurrency indexes.
On this account, the platform has proceeded to delist various popular cryptocurrencies with sizeable market caps.
HKVAC Issues Ratings of Various Digital Assets
HKVAC officials recently issued a statement sharing the ratings of the various digital asset trading platforms and crypto market indexes. In December 2023, Cointelegraph published news regarding Solana overtaking XRP in terms of market capital for the first time ever.
With this takeover, the Solana native token became the fourth-largest cryptocurrency in terms of market capitalization. On the other hand, Avalanche which was placed in the top 10 index also exchanges with Tron.
This happened following a visible rise in AVAX prices while other cryptocurrencies underwent decrement during the last month of 2023.
Recent Hype Around AVAX
Ryan Mcmillin is the CIO at Merkle Tree Capital; he recently told media that the main reason for the increment in AVAX prices could be attributed to traditional banking giants such as JP Morgan and Citi joining forces with Avalanche Foundation.
The venture focuses on the development of real-world asset and tokenization projects. Tron prices underwent a devaluation however between the bearish movement of 2018-2020 the price of TRX decreased by 98%. Nevertheless, TRX was able to make a 100% price recovery in the 2023 bullish uptick.
Meanwhile, HKVAC is working on adding new token listings such as Internet Computer, Near, Injective, Immutable, and Optimism to the global index. On this account, the platform has continued to conduct research on various cryptocurrencies in order to bolster the development of the sector.
The regulators of Hong Kong notified firms in 2023 about spot cryptocurrency ETFs while the SEC was reviewing 11 spot ETF applications for listing in the USA. After various delays, the SEC approved all spot ETF applications on 10th January, 2024.
In the same manner, the Securities and Futures Commission of Hong Kong has emphasized that crypto ETF applications should be filed by SFC-regulated trading platforms or other licensed firms.
Hong Kong Remains Crypto Hub Despite Strict Travel Rule
Hong Kong regulators have mandated travel rules for third-party crypto trading platforms that is exclusive of self-custody wallets. The new regulatory changes took effect on 31th December, 2023 and will regulate inter-exchange transactions.
On this account, local cryptocurrency exchange Hashkey noted that the account holders have to undergo a strict verification process with mandatory documentation checks.
The platform further stated that deposits from other exchange platforms were not supported at present and the list of allowed trading platforms will be added in future. On the other hand, the region now has 210 Web3 firms operating as licensed and registered entities within the region.
The country also launched a digital talent hub called Cyberport. The government has also allocated 500 million Hong Kong dollars or $64 million for the inauguration of Cyberport.