Chinese Government Approves of Hong Kong’s Crypto Plans: Bloomberg
Hong Kong’s recent pivot to becoming a crypto hub is reportedly being made with Beijing’s subtle blessing.
Key Takeaways
- Hong Kong is gearing up to become a crypto hub.
- The Chinese government is giving subtle hints of approval towards the plan.
- Yesterday a Hong Kong regulatory body outlined conditions under which retail investors would be allowed to purchase cryptocurrencies.
China is dipping its toes back into the crypto world by allowing Hong Kong to open up to the market.
One Country, Two Systems
The Chinese government seems keen to relax its draconian anti-crypto stance—at least in Hong Kong.
According to Bloomberg , Chinese officials have been giving subtle hints of approval of Hong Kong’s recent efforts to position itself once again as a crypto hub. The report indicates that, although Beijing isn’t anywhere close to making crypto legal on the Chinese mainland again, it seems willing to let the city develop its crypto industry.
The involvement of China’s Liaison Office in Hong Kong’s recent crypto gatherings has been one of many good signs. Officials have reportedly been swapping business cards and contact details with crypto industry leaders in a friendly manner, even going so far as to making follow-up calls on projects.
Another way the Chinese government has shown its approval is through explicit endorsements of the city. People’s Bank of China governor Yi Gang recently delivered speeches on China’s central bank digital currency and the government’s close cooperation with Hong Kong at key Hong Kong events.
“As long as one doesn’t violate the bottom-line, to not threaten financial stability in China, Hong Kong is free to explore its own pursuit under ‘One Country, Two Systems,’” National People’s Congress member Nick Chan told Bloomberg.
Hong Kong’s Securities and Futures Commission proposed yesterday in a consultation paper to allow retail investors the ability to trade large-cap cryptocurrencies on licensed exchanges, provided they meet several requirements. The implementation of knowledge tests, risk profiles, and reasonable limits on allowable exposure would be necessary for exchanges to gain such licenses.
Disclaimer: At the time of writing, the author of this piece owned BTC, ETH, and several other crypto assets.
The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.
China Approaching NFTs With Caution
News Apr. 13, 2022
The China Internet Finance Association, the China Banking Association, and the Securities Association of China have put forward a joint initiative with the goal of managing the risks associated with...
The Metaverse Is Attracting Fundraising Scams, China Warns
News Feb. 18, 2022
China’s banking and insurance regulator has published a statement alerting investors against companies using the Metaverse for illegal fundraising. China Banking Regulator Warns Against Metaverse Fundraising China’s banking and insurance...
Charlie Munger Praises China for Banning Crypto
Charlie Munger, Vice Chairman of Berkshire Hathaway and long-term partner of Warren Buffet, has reiterated his hardened stance against cryptocurrencies. Charlie Munger Wishes Cryptocurrencies Didn’t Exist Charlie Munger has said...
