Hong Kong Legislator Proactively Invites Coinbase Amidst Legal Battle with SEC’s
Hong Kong’s commitment to winning the global race for crypto talent and innovation is shaping up through proactive invitations extended by the legislative council members. Besides formulating crypto-friendly legislative amendments, Hong Kong is set to benefit from crypto operators seeking US exit.
Firms facing enforcement actions, such as Binance, Coinbase, and Kraken, are pursuing opportunities in the international markets alongside those served with cease-and-desist orders by US regulators.
Hong Kong and Singapore are emerging as an attractive destination for crypto operators. The trend emerges from Hong Kong’s proactive regulation and commitment to being a digital club to ensure a suitable environment to govern industry growth.
Hong Kong Tapping Crypto Talent Exiting US
Based on the progressive viewpoint concerning cryptocurrencies, Coinbase, and other crypto exchanges have been invited to create operations within the region. John Ng, a legislative Council member, revealed in a tweet willingness to support worldwide virtual asset trading operators, such as Coinbase.
Further, Ng also provided a clue concerning possible opportunities for stock listing. The initiatives follow the recent US Securities and Exchange Commission (SEC) charges against major industrial players, for instance, Coinbase and Binance.
As opposed to the careful stance that various Western nations have concerning cryptocurrencies, Hong Kong considers the proactive method. In January 2023, Paul Chan, Hong Kong’s Financial Secretary, revealed the commitment by the government to develop a robust crypto and fintech ecosystem. Additionally, the regulation and implementation of compliance interventions have taken place to enhance the cryptocurrency industry’s expansion.
Hong Kong March Towards Global Digital Hub Ongoing
The Hong Kong Monetary Authority recently disclosed its plans to create the foundation for introducing a central bank digital currency (CBDC). On June 9, it was revealed that the intervention would aid in determining the efficacy of CBDCs as a payment means for daily transactions and ease client cryptocurrency exchange access.
This invitation indicates Hong Kong’s commitment to becoming the crypto industry’s digital hub. The region’s first crypto exchanges to apply for virtual asset service provider licenses were Huobi and OKX. Famous global tech organizations have also sought interest due to Hong Kong’s appropriate approach to cryptocurrencies.
Chinese Authorities Providing Strategic Pro-crypto Initiatives in Hong Kong
In January, Samsung, a tech giant in South Korea, said it had launched a Bitcoin futures active exchange-traded fund. In mid-Feb, numerous reports showed that government personnel in China were providing strategic consent to pro-crypto initiatives that Hong Kong was undertaking.
Further, the Chinese authorities’ recognition also depicts the importance of efforts in the crypto space and the likely effect on the vast landscape of digital currency.
