Hong Kong legislator invites Coinbase to the region despite SEC scrutiny

Promoting its open-minded attitude towards digital currencies, a Hong Kong legislator has extended an invitation to Coinbase and other crypto trading platforms to set up shop in the area.

Johnny Ng, a member of the Legislative Council, utilized Twitter to demonstrate his aid and endorsement to all global digital asset trading operators such as Coinbase. He additionally suggested potential listing opportunities on the stock exchange. This follows the recent lawsuits brought against major players in the industry, including Binance and Coinbase, by the United States Securities and Exchange Commission.

Contrary to the wariness of certain Western nations with regards to cryptocurrencies, Hong Kong has taken a proactive stance. In January 2023, Paul Chan, Financial Secretary of Hong Kong, announced the government’s commitment to constructing a powerful environment for crypto and fintech. Subsequently, Hong Kong has been actively devising regulations and enforcing compliance standards to foster the development of the cryptocurrency sector.

The Hong Kong Monetary Authority (HKMA) recently declared its plan to lay the foundations for the implementation of a retail central bank digital currency (CBDC). This initiative, declared on June 9, seeks to evaluate the benefits of CBDCs as a way of payment for everyday transactions and to make it easier for customers to access cryptocurrency exchanges.

Ng’s invitation demonstrates Hong Kong’s commitment to becoming a center for digital operations in the cryptocurrency sector. OKX and Huobi were two of the earliest cryptocurrency exchanges to request virtual asset service provider authorizations in the area.

The welcoming attitude towards cryptocurrencies in Hong Kong has piqued the interest of renowned international tech firms. In January, the South Korean tech behemoth Samsung declared the launch of a Bitcoin (BTC) futures exchange-traded fund on the Hong Kong Stock Exchange.

Hong Kong’s regulatory environment positions it to become a major cryptocurrency hub.

In mid-February, news emerged that Chinese government officials had given their strategic endorsement to the pro-crypto initiatives being undertaken in Hong Kong. This backing from Chinese authorities further emphasizes the importance of Hong Kong’s activities in the crypto sphere and its potential influence on the wider digital currency arena.

Magazine: Hong Kong’s Crypto Craze, DeFi Token Skyrockets 550%, NBA China’s Non-Fungible Tokens.

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