1. BITBILIHome
  2. Article

Hong Kong’s Web3 regulation was not intended to discourage digital assets, SFC chief

• 113 views

TL;DR Breakdown

  • The collapse of FTX led to regulatory action in Hong Kong, with the CEO of the SFC incorporating virtual asset service providers into the financial framework to establish a transparent and protective regulatory environment.
  • Hong Kong introduced a licensing system allowing retail investors to participate in the digital asset market, emphasizing the importance of cryptocurrency trading and openness to related technologies.

Description

The collapse of the FTX served as a wake-up call for regulators in Hong Kong. Julia Leung Fung-yee, CEO of the Securities and Futures Commission (SFC), initiated a rapid response to the crisis by incorporating virtual asset service providers into the existing financial, legislative framework​. During a recent speech, while addressing Hong Kong’s embrace of … Read more

The collapse of the FTX served as a wake-up call for regulators in Hong Kong. Julia Leung Fung-yee, CEO of the Securities and Futures Commission (SFC), initiated a rapid response to the crisis by incorporating virtual asset service providers into the existing financial, legislative framework​.

During a recent speech, while addressing Hong Kong’s embrace of web3 regulation, Leung noted that the FTX bankruptcy significantly impacted jurisdictions that had previously been open to cryptocurrencies. She emphasized that the SFC’s response was not intended to discourage digital assets but to establish a transparent and predictable regulatory environment that promotes investor protection and manages risk for financial institutions​.

A new chapter in virtual asset regulation

The SFC introduced a licensing system regulating all public interaction with virtual assets. Until recently, trading in digital assets was limited to professional investors with substantial financial assets. The new scheme has broadened this, allowing retail investors to participate in the digital asset market​.

Leung emphasized the importance of cryptocurrency trading within the virtual asset ecosystem and expressed openness to the application of related technologies, such as bond tokenization and investment funds. Despite the turbulent market conditions, she acknowledged that the development of a robust virtual asset ecosystem is a long-term project​.

A distinct approach from mainland China

Leung also highlighted the contrast between Hong Kong’s stance and the cryptocurrency ban in mainland China, pointing out that the new licensing system exemplifies the “one country, two systems” policy. This approach has positioned Hong Kong as a distinct and welcoming environment for crypto businesses.

The local government has set up the Cyberport, a digital hub aimed at promoting innovation. This initiative has attracted over 150 Web3 firms in the past year, aided by a government investment of 50 million yuan ($7 million) to accelerate the development of Web3​.

The evolving regulatory framework in Hong Kong represents an adaptive response to the rapid changes in the virtual asset market. As the virtual asset fintech community continues to grow in the region, Hong Kong’s role in this emerging field is likely to become increasingly significant​.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Hong Kong’s Web3 regulation was not intended to discourage digital assets, SFC chief

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年6月27日 10:41
Next 2023年6月27日 11:58

Related articles

  • Norway’s central bank proposes strengthened payment systems and national crypto regulation strategy

    TL;DR Breakdown Norges Bank calls for stronger contingency measures in response to increasing cyber threats. The bank proposes a national strategy for fast-paced cryptocurrency regulation, leveraging existing rules. Emphasizing education, Norges Bank seeks to increase cryptocurrency understanding among Norwegians. Norges Bank, Norway’s central bank, released the 2023 Financial Infrastructure Report and Retail Payment Services 2022, spotlighting the need to enhance and fortify the payment system’s contingency arrangements. The effort aims to ensure the Norwegian public’s ability to continue making secure and efficient payments in the future. With cyber threats escalating and diversifying, maintaining a robust payment system demands concerted efforts from individual entities and effective public-private partnerships. “Cyber incidents can quickly spread across sectors, and contingency work in the various sectors must therefore be viewed in a broader context,” warns Deputy Governor Pål Longva. In response to these cyber threats, Norges Bank and Finanstilsynet, Norway’s Financial Supervisory Authority, have initiated a framework for testing the cyber resilience of banking and payment systems. This project, which simulates real-world attacks, is designed to enhance the financial sector’s cyber resilience, ultimately promoting financial…

    Article 2023年5月27日

  • Cricket Legend AB de Villiers Shares Insights on NFT Hack

    TL;DR Breakdown AB de Villiers, the renowned cricket legend, reveals how he was tricked by a malicious NFT contract and lost a significant part of his collection. De Villiers shares his early investments in cryptocurrencies, including XRP, and expresses his interest in exploring various aspects of the Web3 industry. AB de Villiers, the renowned South African cricket legend, recently opened up about his personal experience with a devastating NFT hack. In an interview with Cointelegraph, de Villiers revealed how he inadvertently fell victim to a malicious NFT contract, resulting in the loss of a significant portion of his NFT collection. Additionally, he shared his early investments in cryptocurrencies, including XRP, and expressed his interest in exploring the Web3 industry. This article delves into de Villiers’ revelations, highlighting the hacking incident and his journey into the world of cryptocurrencies. Contents hide 1 AB de Villiers’ NFT Hack: Lessons Learned in Navigating Web3 2 AB de Villiers’ Affinity for XRP and Web3 Exploration 3 AB de Villiers’ Future Endeavors in the Web3 Industry 4 Conclusion AB de Villiers’ NFT Hack: Lessons Learned…

    Article 2023年6月6日

  • TON network announces its new encrypted messaging feature

    TL;DR Breakdown TON Network has announced the release of a new encrypted messaging feature within its network. The foundation wants to drive growth with the new feature. Description The TON network, developed by the TON Foundation, recently unveiled a new on-chain encrypted messaging feature, allowing users to send private messages within the network. TON, which originated from code created by the Telegram instant messaging app team, was forked and open-sourced after Telegram abandoned the project in July 2020 before its mainnet launch. TON … Read more The TON network, developed by the TON Foundation, recently unveiled a new on-chain encrypted messaging feature, allowing users to send private messages within the network. TON, which originated from code created by the Telegram instant messaging app team, was forked and open-sourced after Telegram abandoned the project in July 2020 before its mainnet launch. TON network rolls out a new encrypted feature on the network The TON Foundation has since taken charge of building the current TON network, which is designed to provide greater scalability and transaction throughput while maintaining decentralization within the Web3…

    Article 2023年7月6日

  • The New York Times Exposes Startling “Notes” Made by Sam Bankman-Fried’s Girlfriend

    TL;DR Breakdown The New York Times reveals Caroline Ellison’s personal notes, in which she expressed dissatisfaction and feeling overwhelmed with her role as CEO of Alameda Research months before the FTX collapse. The documents suggest that Ellison had full knowledge of the issues plaguing FTX, raising questions about her involvement in the fund mismanagement that resulted in significant losses for investors. Description In a startling turn of events, shocking details regarding Caroline Ellison, the CEO of crypto hedge fund Alameda Research, have emerged from documents accessed by The New York Times. These notes shed light on Ellison’s apparent foreknowledge of the impending collapse of crypto exchange FTX, which initiated Chapter 11 proceedings seven months ago. The collapse … Read more In a startling turn of events, shocking details regarding Caroline Ellison, the CEO of crypto hedge fund Alameda Research, have emerged from documents accessed by The New York Times. These notes shed light on Ellison’s apparent foreknowledge of the impending collapse of crypto exchange FTX, which initiated Chapter 11 proceedings seven months ago. The collapse had far-reaching consequences, affecting cryptocurrency…

    Article 2023年7月21日

  • Indonesia accelerates de-dollarization with formation of National Task Force

    TL;DR Breakdown Indonesia’s central bank, Bank Indonesia, has established a National Task Force to expand the use of local currencies in transactions with partner countries, aiming to reduce reliance on the U.S. dollar. The task force involves multiple Indonesian government bodies and has already seen cooperation agreements for local currency transactions signed with countries like Singapore and South Korea, in addition to existing partnerships with Malaysia, Thailand, Japan, and China. The initiative aligns with broader global trends, including efforts by the BRICS nations and the ASEAN community to encourage using national currencies in international trade and financial transactions. Description Indonesia has intensified its efforts to minimize reliance on the U.S. dollar by establishing a National Task Force. The initiative aims to broaden the use of local currencies in transactions with partner countries. The announcement was made during the recent ASEAN Summit in Jakarta, marking a significant milestone in Indonesia’s financial strategy. The task force … Read more Indonesia has intensified its efforts to minimize reliance on the U.S. dollar by establishing a National Task Force. The initiative aims to broaden…

    Article 2023年9月10日
TOP