Analysts suggest that Hong Kong may strengthen its position as a global crypto center due to recent regulatory actions in Singapore.
Situation in Singapore
A recent report indicates that Singapore is tightening control over unlicensed crypto firms, which could lead to a migration of companies to Hong Kong. Analysts believe this may enhance liquidity in Hong Kong's market.
Regulations in Hong Kong
Hong Kong is also implementing active measures to regulate the crypto industry. The most notable is a new stablecoin ordinance, set to take effect in August 2025. Despite strict licensing requirements, local authorities aim to ensure market integrity by weeding out bad actors.
Development Prospects
Experts believe Hong Kong should seize the opportunity to create a more welcoming environment for crypto firms. This will help maintain competitiveness on a global scale and stimulate new investments.
Considering the strict regulations in Singapore, Hong Kong could leverage this opportunity to establish itself as a significant player in the global crypto arena.
