To become a prominent global web3 hub, Hong Kong Legislative Council member Johnny Ng has voiced his aspirations for closer ties between the city’s digital asset platforms and a Shanghai-based exchange. The goal is to foster cooperation and talent exchanges in the web3 industries between Hong Kong and mainland China.
Highlighting Shanghai’s significance as the country’s financial center and home to exceptional financial enterprises, Ng draws parallels with the successful Shanghai-Hong Kong Stock Connect program, which seamlessly connects the stock markets of both cities. Inspired by this precedent, Ng envisions the potential interconnectivity between licensed virtual asset trading exchanges in Hong Kong and Shanghai.
Ng expressed his hope for future discussions on this matter, emphasizing the benefits of such collaboration in further strengthening Hong Kong’s position as a global financial center. He believes nurturing partnerships between the two regions could lead to mutual growth and advancement in the web3 space.
Apart from digital asset exchanges, Ng also stressed the importance of web3 talent exchanges between Hong Kong and mainland China. Promoting the flow of talent across borders could foster innovation, knowledge-sharing, and the development of cutting-edge technologies in both regions.
Notably, Hong Kong has taken a more welcoming stance towards cryptocurrencies than the mainland’s stricter regulations. Despite China’s blanket ban on cryptocurrency transactions in 2021, non-fungible tokens (NFTs) issued by Chinese firms continue to thrive, with some digital asset platforms offering “digital collectibles.”
Hong Kong’s efforts to embrace the crypto industry have been evident throughout the year, with authorities releasing policy statements to bolster the city’s position as a global financial center. In December, the Legislative Council passed an amendment introducing a comprehensive licensing regime for virtual asset service providers.
Recent developments demonstrate Hong Kong’s commitment to fostering a conducive environment for crypto firms. Recently, HashKey and OSL obtained licenses to offer retail trading under the new licensing regime, signaling the city’s continued efforts to attract and support cryptocurrency-related businesses.
As Hong Kong emerges as a hub for web3 and digital asset ventures, the potential interconnectivity with Shanghai’s digital asset exchanges presents an exciting opportunity for further growth and collaboration. The evolving landscape promises to bring new possibilities and innovative solutions to the ever-changing world of cryptocurrencies and blockchain technology.
