More than 80 cryptocurrency companies have shown interest in setting up shop in Hong Kong, according to Christopher Hui, the secretary for financial services and the Treasury in Hong Kong, who made this revelation during a speech at the Aspen Digital Web 3 Investment Summit earlier this week.
“We attach great importance to virtual asset (VA) and Web3,” Hui stated, emphasizing: “The Government has a high-level commitment of developing the sector and providing a comprehensive support system to enterprises which are passionate pioneers and start-ups in this area.”
The official stated that the Policy Statement has been well received by the business “on Development of VA,” which the Hong Kong government released last year.
“As of end-February 2023, Invest Hong Kong has received expressions of interest from over 80 virtual asset-related mainland and foreign companies in establishing their presence in Hong Kong.”
The government department of Invest Hong Kong (Invest HK) aims to draw and keep FDI (foreign direct investment) in Hong Kong.
“These companies included VA exchanges, blockchain infrastructure companies, blockchain network security companies, virtual currency wallets, and payment companies, as well as other projects on building the Web3 ecosystem,” Hui detailed.
In particular, the official stated that as of the end of February, Invest Hong Kong had heard from 23 firms spanning mainland China, Canada, the European Union, Singapore, the United Kingdom, and the United States that they intended to establish a presence in Hong Kong.
Hui also noted that the Hong Kong Monetary Authority is creating a regulatory system for stablecoins with the aim of enacting laws by 2024. The Hong Kong government has devised a licensing scheme for crypto service providers that will take effect in June.
“We have advanced our securities rules to allow regulated intermediaries to offer trading of eligible VA futures ETFs [exchange-traded funds] to retail investors in Hong Kong,” the official further shared, noting:
Within a few months’ time, we are glad to see that three VA futures ETFs have already been listed and traded on the Hong Kong Stock Exchange.
“Hong Kong is well-positioned to be a leading hub for Web3 in Asia and beyond,” Hui claimed, adding: “We have a vibrant fintech ecosystem here in Hong Kong, with over 800 fintech companies offering different kinds of innovative and convenient financial services for members of the public and the business sector.”