The Currency Analytics
By David Drake
Global popularity of cryptocurrencies is undisputable. However, differences in the way digital assets are handled and the disparities across crypto exchanges have been on the…
Just recently, Hong Kong’s SFC stated that it will introduce new governing rules and course of actions for the crypto market.
Due to this, the SFC resolved to safeguard investor assets by including them in the regulations.
SFC’s intended regulatory framework could have more positive outcomes than negative ones. The basic nature and features of digital assets make them unpredictable and their price…
By licensing operators, Hong Kong is likely to increase investor confidence. This will attract more investors and entrepreneurs to the country as well as safeguard their…
As such, the new guidelines will enable SFC to oversee the running or distribution of digital asset funds.
The SFC aims to promote better utilization of the latest technology, ensure investors have additional choices and improve results when dealing with digital assets.
The proposed regulations are also likely to have negative consequences. Determining which digital assets will be considered for regulation might pose a challenge and hinder…
At the same time, Hong Kong's regulations may be too stringent for some crypto companies and could discourage them from conducting business in the country.
Disclaimer: David Drake is on the advisory board for most of the firms mentioned or quoted in this article.