Credit: The Standard / Bloomberg
10 Jan 2023
10 Jan 2023
Several leading tech firms and startups may set up headquarters in Hong Kong, says Financial Secretary Paul Chan Mo-po.
The Government, Chan added, is exploring the use of virtual assets in various scenarios to boost its ambition as a regional crypto hub.
Speaking at a Web3 forum yesterday, Chan said a number of tech firms reached out to the government in the past two months and indicated they may expand or move their headquarters to Hong Kong.
Without naming, Chan also said some tech companies are planning to go public in the city.
In his policy address, Chief Executive John Lee Ka-chiu said the government will set up a HK$30 billion fund to attract businesses to set up operations in the financial center.
Chan reiterated that Hong Kong is committed to becoming a regional crypto hub.
Chan said that although "certain crypto exchanges collapsed one after another, Hong Kong has stood out as a quality standing point for digital asset corporates."
The city has a robust regulatory framework matching "international norms and standards" while prohibiting free-riders, he added.
Hong Kong is keen to leverage on its crypto credentials at a time rival Singapore backtracks, spooked by the fallout from the derailment of crypto exchange FTX, Chan said.
Meanwhile, authorities are carrying out pilot projects to look into the use of virtual assets in different scenarios in financial markets, Chan said.
These projects include issuing the first tokenized government green bonds, that will be ready soon for institutional investors to subscribe, and cross-border application of the e-HKD, the city's retail central bank digital currency.
Hong Kong Monetary Authority chief executive Eddie Yue Wai-man earlier said in a Sing Tao interview that he expects the tokenized government green bonds to be issued in the first quarter of the year.
Chan also noted that the city recently completed the legislation for the setting up of a new licensing regime for virtual asset service providers.
He said he expects this to be implemented in June.
In addition, Hong Kong is planning a consultation on crypto platforms to study the potential for retail participation in the industry, of which the details will be published soon, Undersecretary for Financial Services and the Treasury Joseph Chan Ho-lim said at the same event.