- Hong Kong will license extra crypto exchanges by 2024 and strengthen regulatory compliance.
- New AI insurance policies in finance will foster innovation whereas addressing regulatory challenges.
- The proposed tax cuts on digital property are aimed toward rising the attractiveness of digital investments in Hong Kong.
Hong Kong plans to acquire a digital asset trade license by the top of 2024 after a five-month evaluation of crypto platforms. Eric Yip, government director of intermediaries on the Securities and Futures Fee (SFC), stated this through the FinTech Week occasion in Hong Kong.
Yip stated digital asset exchanges will transfer from preliminary permission to completely licensed standing as soon as they meet the SFC's regulatory standards. These platforms have addressed SFC suggestions, allotted assets to regulatory considerations, and adopted sustainable and compliant working fashions.
According to these updates, the SFC will kind a committee comprised of representatives from licensed exchanges by early 2025 to facilitate ongoing communication between regulators and digital asset platforms.
Hong Kong expands digital foreign money laws
Hong Kong additionally plans to control over-the-counter (OTC) buying and selling desks and digital asset custody providers.
Additionally learn: Hong Kong’s crypto hub plans hit regulatory challenges
As a further step to assist this sector, Hong Kong Exchanges and Clearing Ltd. has introduced the upcoming launch of a digital asset index collection. The index introduces a brand new Bitcoin and Ether worth benchmark aligned to the Asia-Pacific time zone.
AI coverage in finance and proposed tax cuts for digital property
In parallel with its crypto licensing efforts, Hong Kong has launched its first AI coverage tips for the monetary sector, offering a framework for regulators to form the rising position of AI within the monetary sector.
Monetary Providers and Treasurer-Common Christopher Hui-Ching-Yu has introduced a second initiative aimed toward accelerating the adoption of AI whereas contemplating each its potential advantages and dangers, and addressing the related regulatory challenges. A heavy orbit strategy was launched.
Hui additionally introduced plans to increase tax incentives for proudly owning digital property. He defined that that is aimed toward establishing Hong Kong as a pacesetter within the digital asset market and selling digital asset funding.
Disclaimer: The data contained on this article is for informational and academic functions solely. This text doesn’t represent monetary recommendation or recommendation of any type. Coin Version is just not liable for any losses incurred because of the usage of the content material, merchandise, or providers talked about. We encourage our readers to conduct due diligence earlier than taking any motion associated to our firm.
