Hong Kong to be Asia's Bitcoin Hub?

Hong Kong has set its sights on becoming the dominant Bitcoin hub in Asia with a regulatory regime gradually becoming more and more open to Bitcoin (yes, crypto too).

There was a lot of sceptism about Hong Kong’s eventual position on Bitcoin, especially since the China ban on Bitcoin mining resulted in the “great migration” away from mainland China, dispersing mining activity to the 7-Stans and North America.

Late 2022 saw some promising signs creep into Hong Kong policy when they unexpectedly legalised Bitcoin trading

Then 5 weeks later Hong Kong announced it would like its first Bitcoin ETF, further signs that perhaps China would use Hong Kong as a test-bed for Bitcoin.

2 months later, Interactive Brokers launched Bitcoin trading services in Hong Kong for retail investors.

Then in March, 2023 came the news that the government was actively encouraging banks to do finance Bitcoin companies.

This is in stark contrast to some US and UK banks actively closing accounts at the mere hint of Bitcoin involvement.

Then Hong Kong’s biggest bank, HSBC, announced it would apply to launch a Bitcoin ETF

Somewhat amazing that yet another jurisdiction has offered a spot Bitcoin ETF without it’s financial system collapsing - perhaps the SEC’s Gary Gensler could take note…

When one major bank starts offering Bitcoin, they all have to. So it was no surprise to see Standard Chartered come to the party in October.

Hong Kong seems to be moving in a positive direction, ahead of the US by some way at this point, but it also has tough competition from Singapore to become the Asian Bitcoin Hub.

Thank you for reading and let’s orange pill the world!
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Archie