Hong Kong to step in as ‘options are dwindling’ globally — FinTech chair

Crypto-friendly Hong Kong is inactive gung-ho astir giving its citizens entree to crypto trading contempt different jurisdictions “taking a measurement back,” claims the seat of the FinTech Association of Hong Kong (FTAHK).

Speaking to Cointelegraph astatine the Hong Kong WOW Summit successful March, FTAHK seat Neil Tan said while Singapore and the United States are seemingly stepping back from permitting crypto retail trading, “Hong Kong is stepping forward.”

On June 1, a licensing authorities for crypto exchanges volition travel into effect and Tan said it’s “going to besides see retail.” The licensing guidelines are expected to beryllium released sometime successful May.

“If there’s entree to [crypto] successful a ineligible and regulated way, past I'm definite participants volition come. It is simply a ‘build it and they volition come’ due to the fact that determination are nary different options. The options are dwindling, actually.”

In February, the region’s securities regulator proposed allowing retail traders access licensed crypto platforms successful its licensing authorities proposals for Virtual Asset Service Providers (VASPs).

It noted that denying entree could propulsion traders to unregulated overseas platforms. Currently, these platforms tin lone service accredited nonrecreational investors.

Neil Tan successful speech with Cointelegraph astatine WOW Summit. Source: WOW

In January, Securities and Futures Commission (SFC) CEO Julia Leung Fung-yee said retail traders would beryllium limited to “highly-liquid” integer assets but did not springiness immoderate further explanation.

Along with providing what galore see to beryllium an attractive ineligible framework for crypto, Hong Kong is besides focusing efforts connected attracting endowment and infrastructure providers — what Tan called “the backmost end.”

Related: China’s crypto stance unchanged by moves successful Hong Kong, says exec

He added some the Chinese and Hong Kong governments admit the opportunities successful the portion and are taking enactment to effort to enactment inbound talent.

“There's a batch of endowment crossed the borderline and close present there's a just magnitude of unemployment,” Tan said connected China. “There's a batch of endowment that's coming from Big Tech and truthful distant that's capable to travel into Hong Kong.”

Infrastructure to enactment crypto besides needs to beryllium successful spot for Hong Kong to recognize its virtual plus hub ambitions, Tan said. “When the platforms come, they travel with that infrastructure. They bring the infrastructure with them arsenic good to present the product,” helium added.

He added the opening of the fiscal manufacture to integer assets was “just a earthy progression” arsenic cryptocurrencies “become a small spot much prominent.”

“People are really adopting [crypto] wrong of their portfolios. Whether you're talking astir the retail side, precocious nett worthy oregon organization investors, everyone's looking astatine their portfolios and trying to get that benignant of exposure.”

“Now we're backmost successful business. We're opening it up.”

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