- The SFC proposed allowing individual investors to trade top virtual assets on exchanges.
- Hong Kong is taking advantage of the current climate by expanding its position.
According to those in the know, Hong Kong will soon let individual investors trade Bitcoin (BTC), Ethereum (ETH), and other top cryptocurrencies after successfully luring crypto luminaries to set up organizations and exchanges there.
Hong Kong is taking advantage of the current climate by expanding its position as a worldwide leader in the cryptocurrency industry as a result of its “crypto hub” project, which has attracted a number of major cryptocurrency exchanges and companies from across the world.
Clear Defined Regulations
At a news conference on May 23, the Hong Kong Securities and Futures Commission (SFC) will discuss allowing regular investors to purchase cryptocurrency. New regulations proposed by the government would restrict cryptocurrency trading by individual investors to just the most prominent digital assets.
Unlike China and the United States, Hong Kong has introduced laws and licenses for the cryptocurrency business. Retail access is scheduled to begin on June 1st. While the city wants to implement a licensing scheme for virtual asset enterprises in May.
In a consultation document published in February. The SFC proposed allowing individual investors to trade top virtual assets on exchanges that meet certain regulatory requirements. Investors are safeguarded via the use of tools including knowledge exams, risk assessments, and acceptable exposure limits.
Cryptocurrencies that aren’t included in at least two respected investible indices from suppliers with expertise in the conventional financial sector are off-limits to investors. Even while crypto regulatory worries persist. Hong Kong is leading the way in adoption. Thanks to OKX and Huobi, two cryptocurrency exchanges that intend to seek licenses.
