A Hong Kong legislator has urged Coinbase and other cryptocurrency exchanges to open offices in the city, praising the city’s progressive position on cryptocurrencies.Johnny Ng, a member of the legislative council, posted on Twitter to offer support and help to “all global virtual asset trading operators,” including Coinbase.He also made some possible stock listing suggestions.This follows recent legal actions by the US Securities and Exchange Commission against important market participants including Binance and Coinbase.Hong Kong has adopted a proactive position toward cryptocurrencies in contrast to the cautious stance of several Western nations.Paul Chan, the financial secretary for Hong Kong, stated in January 2023 that the government was committed to building a solid ecosystem for cryptocurrencies and fintech.Hong Kong has therefore been diligently creating rules and putting in place compliance procedures.
A retail central bank digital currency (CBDC) will soon be introduced, and the Hong Kong Monetary Authority (HKMA) recently announced its intention to lay the framework for this.This effort, which was unveiled on June 9, aims to improve client access to cryptocurrency exchanges and look into the benefits of CBDCs as a method of payment for regular transactions. Ng’s invitation demonstrates Hong Kong’s commitment to developing into a digital hub for the cryptocurrency industry.Among the first cryptocurrency exchanges to apply for licenses as virtual asset service providers in the area were OKX and Huobi.
Reputable multinational IT companies are also interested in Hong Kong because of its positive attitude toward cryptocurrency. A Bitcoin futures active exchange-traded fund will be launched on the Stock Exchange in Hong Kong, according to a January announcement from South Korean technology giant Samsung.
Furthermore, news broke in mid-February that Chinese government representatives were giving their strategic blessing to Hong Kong’s pro-crypto measures. The significance of Hong Kong’s efforts in the crypto field and their potential impact on the larger digital currency ecosystem are further highlighted by this acknowledgement from Chinese officials.