Hong Kong crypto gets soft support from Beijing: Bloomberg

According to Bloomberg, China Liaison Office officials have been frequent guests at crypto rallies in Hong Kong. The tone of their visits and follow-up talks with certain projects was friendly.

Some stakeholders think this could be seen as a show of support for Hong Kong’s push to become a crypto hub, with China’s Special Administrative Region using its separate legal system and markets as a testing ground – much in the same way Hong Kong was. China’s first test of open markets in the 20th century.

“As long as it doesn’t violate the bottom line, so as not to threaten financial stability in China, Hong Kong is free to explore its own pursuit under ‘One Country, Two Systems,’” Bloomberg quoted Nick Chan, a member of the National People’s Congress. and a crypto lawyer, as mentioned.

On Monday, Hong Kong’s Securities and Futures Commission (SFC) made its first attempt to open the door to retail crypto trading, launching a consultation process for Virtual Asset Service Providers (VASPs) seeking a license to provide trading services for to provide retail.

Some of the requirements the SFC is proposing include a token due diligence process prior to listing where only pre-approved tokens are available to traders, as well as creating a risk profile for clients to ensure their exposure is “reasonable” is.

It is not known when the SFC will finalize its consultation process on providing access to retail investors.






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