Hong Kong lawmaker Johnny Ng has urged the government and banks to ease banking restrictions on cryptocurrency and Web 3.0 companies, as many still struggle to open accounts in the country.
Ng, a member of Hong Kong’s Legislative Council, wrote: mail Today X reported that Web3 companies are having trouble opening bank accounts, “hindering their ability to conduct business effectively.”
“Virtual banks should develop in a way that diversifies services and complements traditional banks,” Ng said, adding that Hong Kong should upgrade its virtual banks to manage virtual assets, which is in line with the government’s Web3 development goals.
Ng said at a news conference on Thursday that his team According to local newspaper Sing Tao Daily, a survey was recently conducted of more than 120 cryptocurrency and Web3 companies that have established operations in Hong Kong since 2022..
The survey found that about 95% had attempted to open a local bank account, and 70% of respondents reported that their bank had asked shareholders or directors to visit Hong Kong multiple times. The report found that about 20% of respondents successfully opened a bank account within two to five months, while 54% of companies took at least six months to open an account.
Despite repeated government commitments to developing the region into a crypto hub, it has long been a problem for crypto companies to open bank accounts in Hong Kong. Last year, Hong Kong expressed its willingness to welcome crypto companies, and in June 2023, it officially launched a crypto licensing regime for crypto trading platforms, allowing licensed exchanges to offer retail trading services.
Hong Kong lawmaker Duncan Chiu also Raise a concern It has been criticized for imposing “overly stringent” regulations for cryptocurrency exchanges to obtain licenses, and for preventing major global exchanges from entering Hong Kong. Many global exchanges, including: OKX, Gate.io and Cooperative — Withdraw your license application in Hong Kong.
Disclaimer: The Block is an independent media outlet providing news, research and data. As of November 2023, Foresight Ventures is the largest investor in The Block. Foresight Ventures invests in other companies in the cryptocurrency space. Cryptocurrency exchange Bitget is an anchor LP of Foresight Ventures. The Block continues to operate independently to provide objective, impactful and timely information on the cryptocurrency industry. Current financial disclosures include:
© 2024 The Block. All rights reserved. This article is provided for informational purposes only. It is not provided or intended to be legal, tax, investment, financial or other advice.