Hong Kong wants to legalize crypto trading

[Maniés]

Hong Kong’s securities regulator wants to allow retail investors to invest directly in virtual assets and to reconsider current crypto trading requirements.

Hong Kong is taking action to regain its status as a global cryptocurrency hub by launching several legal initiatives related to the crypto industry. The city of Hong Kong and special administrative region in China, is poised to separate its approach to crypto regulation from China’s blanket ban on crypto.

The Hong Kong government is considering introducing its own bill to regulate cryptocurrencies in a way that is not restricted by China, said Elizabeth Wong, head of the fintech division of the Securities and Futures Commission (SFC).

One of the SFC's initiatives allows private investors to invest directly in virtual assets.

Such a move would mark a clear departure from the SFC’s stance over the past 4 years, which restricted cryptocurrency trading on centralized exchanges to professional investors, Wong noted. Eligible investors include individuals with a portfolio value of at least $1 million, representing approximately 7% of the city's population.