Johnny Ng, a prominent legislator in Hong Kong, has invited global virtual asset trading platforms such as Coinbase to establish operations in the city. This step indicates a significant development in the cryptocurrency industry. Hong Kong implemented a new licensing regime for crypto retail trading on June 1, which paves the way for growth in the digital asset market.
Ng is known for his support of Web 3.0 technology and has advocated for exploring the potential of Hong Kong’s planned central bank digital currency (CBDC), the e-HKD, as a stablecoin linked to decentralized finance. This move by Hong Kong to implement new rules for virtual asset trading platform operators has garnered global attention and has the potential to set an example for other jurisdictions looking to embrace retail crypto trading.
I hereby offer an invitation to welcome all global virtual asset trading operators including @coinbase to come to HK for application of official trading platforms and further development plans. Please feel free to approach me and I am happy to provide any assistance. pic.twitter.com/bcIi1IjMlc
— Johnny Ng 吴杰庄 (@Johnny_nkc) June 10, 2023
Gary Tiu, executive director, and head of regulatory affairs at Hong Kong-based crypto exchange OSL, believes that this development could lead to increased adoption of cryptocurrencies and blockchain technology in the region.
Coinbase, a global crypto exchange leader, has expressed a strong interest in expanding to Hong Kong. This is noteworthy due to ongoing legal scrutiny by the US SEC for potential securities regulation violations.
The expansion showcases Coinbase’s commitment to compliance while recognizing Hong Kong’s appeal in terms of expansion opportunities. The new licensing regime welcomes global cryptocurrency exchanges, signifying the city’s commitment to fostering innovation and attracting top players in the crypto industry.
This development positions Hong Kong as a prominent hub for crypto trading and innovation, driving economic growth and establishing itself as a leader in the evolving digital economy.
Compiled by Coinbold