Hong Kong confirms crypto engagement at the Web3 conference: report

Hong Kong confirms crypto engagement at the Web3 conference: report

government officials confirmed the city's crypto obligations at the Hong Kong Web3 Festival this week, as it aims to become a fully regulated crypto center that attracts investments and web3 startups.

On April 12, Finance Minister Paul Chan Mo-PO confirmed that appropriate regulations and supervision were of the greatest importance.

"I believe that everyone has learned from the recent events that appropriate regulations are a must to create an environment for sustainable development and a more ideal space for development."

Hong Kong wants to regulate defi

Keith Choy, head of the intermediary department at the SFC, said Defi should be considered the same as CEFI (centralized or traditional finances).

"Therefore, the defect activity, as long as it takes place in the context of securities and futures, would be subject to the same regulatory requirements that apply to traditional financial activities."

lily King, COO of the custodian of crypto assets, commented: "If Hong Kong really intends to regulate defi, this means that it has stricter rules [Environment] as a Singapore."

The new regulations that come into force in June require that all crypto exchanges in Hong Kong are licensed by SFC. However, the licensing process is very strict, with strict requirements for the tokens you can list.

Nevertheless, regional banks open up for crypto, which cannot be said for the West. At the beginning of this week, Hong Kong announced the largest online bank that she will offer transfers and conversion from and to crypto and fiat currencies.

ZA Bank will act as a handling bank for customers and enable with-lifting in Hongkger, Chinese and US currency of crypto inlays in stock exchanges, said CEO Ronald iu.

not for Chinese retail

The cryptom market from Hong Kong will not be available for retailers on the Chinese mainland due to the regime's restrictions there.

It will offer Chinese banks, institutions and companies to legally enter cryptoma markets.

At the moment there are only two fully licensed crypto exchanges in Hong Kong-Hashkey and Osl.

OKX President Hong Fang was optimistic and said: "It is a very unstable situation, but I see that Hong Kong together with the USA and some other offices is a very important junction for our team."

OKX announced plans to expand its presence in Hong Kong by applying for licenses for virtual assets at the end of March.

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