Hong Kong's New Crypto Policy: A Key Piece in the Battle for Asia's Financial Center
In 2023, Hong Kong opened retail crypto trading licenses, attracting exchanges like Binance and OKX to set up operations. In sharp contrast to the cautious policies on the mainland, Hong Kong aims to become a Web3 hub. However, controversies over regulatory arbitrage and a lack of clarity on the compliance framework for stablecoins have led to a strong sense of market wait-and-see. If the policy remains loose, Hong Kong may challenge Singapore's status as Asia's crypto powerhouse, driving new flows of Chinese capital.