From a neighbouring hill, a man takes in views of Hong Kong and its skyline, as well as the dropping golden coins.
Hong Kong’s approach to cryptocurrency stands in contrast to the rest of Asia. Specified crypto tokens are now available for trading by the general public after the implementation of new legislation.
On June 1, 2023, the Securities and Futures Commission (SFC) of the city will implement new legislation allowing ordinary investors to trade specific crypto assets. However, for these tokens to be tradable, they must adhere to a number of strict guidelines.
Bitcoin, Ethereum, and a number of other prominent altcoins are among the exclusive group of 10 crypto tokens.
The crypto tokens must adhere to the SFC’s strict regulations before they can be traded on retail exchanges. Tokens, for one, need to be in accordance with regulations for at least a year. During that time, the projects in control of these tokens shouldn’t be accused of any wrongdoing.
However, the tokens must be included in at least two significant investable indexes maintained by separate, third-party investment businesses. Tokens that don’t follow these guidelines won’t be tradable.
The Galaxy, 21 Shares, Bitwise, Nasdaq, and WisdomTree indexes are just some of the places where you may see these coins listed.
Despite the continued ambiguity surrounding stablecoins, the SFC has no intentions to approve their use at this time.
This is a huge step forward for Hong Kong’s Bitcoin policies. Hong Kong’s goal with this selected strategy is to increase its prominence in the global crypto industry while keeping to rigorous regulatory norms.
This change presents a chance for ordinary investors in Hong Kong to enter the cryptocurrency market. The general cryptocurrency markets will benefit as well from the increasing use.
Also Read: The creator of Synthetix is looking to repurchase and destroy millions of SNX tokens
