Hong Kong establishes a task force to advance Web3 development

July 4, 2023

By Sharan Kaur Phillora

Hong Kong has taken a significant step towards becoming a global hub for Web3 development by establishing a task force to oversee its progress. Comprising 15 industry experts and 11 government officials, the task force aims to promote the responsible and sustainable growth of Web3 in the region.

Here’s what we know

The Financial Secretary of Hong Kong, Paul Chan, expressed his confidence in the task force’s ability to make Hong Kong a leader in the Web3 sector. He emphasized the importance of fostering innovation, attracting top companies and talent, and building a thriving ecosystem.

He said, “The Financial Secretary has announced in the 2023-24 Budget the establishment of the Task Force to provide recommendations on the sustainable and responsible development of Web3 in Hong Kong.”

The government’s policy statement on virtual assets, released in October 2022, has received a positive response from the market. More than 80 virtual asset-related companies have shown interest in establishing their presence in Hong Kong as a result.

In line with its efforts to attract crypto firms, Hong Kong has actively promoted itself as an appealing destination. Legislative Council member Johnny Ng extended an invitation to global virtual asset trading platforms, including Coinbase, to apply for a virtual asset service provider license.

The Hong Kong Securities and Futures Commission (SFC) announced plans to allow licensed platforms to serve retail investors, further signaling the region’s commitment to embracing the virtual asset industry. Operators willing to comply with the SFC’s guidelines are encouraged to submit license applications.

With the task force in place and the government’s proactive approach, Hong Kong is positioning itself as a leading force in Web3 development, driving innovation and creating a favorable environment for virtual asset businesses.

About the author

Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.

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