Hong Kong has allowed retail investors based in the country to trade cryptocurrencies. Hong Kong’s Securities and Exchange Commission (SFC) is trying to make the Chinese administrative region a cryptocurrency hub in Asia, which should attract more investors and cryptocurrency startups to the region.
Elizabeth Wong, Director of Licensing and Head of the FinTech Division of the Hong Kong Securities Commission, shared the commission’s plans to regulate cryptocurrencies. The cryptocurrency regulation bill may be different than the current bill in the rest of China.
The Hong Kong Securities Commission has previously announced that only professional investors can trade digital currency on centralized exchanges; This amount is equal to 8 million Hong Kong dollars ($1 million).
Elizabeth Wang has also stated that the crypto and digital currency industry has become more regulated over the past four years.
Several other legislative proposals are also expected to be introduced with the aim of developing the crypto ecosystem in Hong Kong. This feature allows some digital currency derivatives to be sold by service providers.
As we mentioned at the beginning, this commission plans to include retail investors in exchanges related to digital currencies.
According to the Hong Kong Securities Commission, new technologies such as non-fungible tokens (NFT) and metaverses are to be used. In this case, Hong Kong will become the center of international virtual capital. The Hong Kong University of Science and Technology also announced that a new campus called MetaHKUST will be offered in the form of a virtual metaverse.
