Hong Kong holds course on digital assets amid UAE competition

Hong Kong, long committed to cryptocurrency and blockchain, is facing a competitive challenge from the crypto-friendly UAE, panelists said at Consensus Hong Kong. "The UAE is really aggressive," said Johnny Ng, founder of web3 investment firm Goldford Group and a member of the CPPCC, noting that Dubai and Abu Dhabi have set up solid regulatory frameworks each overseen by a single dedicated authority; Korea also has a government body responsible for crypto issues.

Joseph Chan, under secretary for financial services and the treasury in Hong Kong, said the city’s regulators aim to provide "no surprises," pointing to a consistent commitment to digital assets. "Our regulation is transparent, certain and predictable, and we have stuck to that all along," he said, adding that Hong Kong has stood by the industry through market ups and downs.

Under Hong Kong's mandatory licensing regime for virtual asset trading platforms, 11 licensees have been granted since the framework took effect two and a half years ago.

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