Hong Kong lawmakers welcome the entry of cryptocurrency exchanges such as Coinbase

Welcome the entry of virtual currency exchanges

Hong Kong lawmaker Johnny Ng said Wednesday that he welcomes the market entry of cryptocurrency exchanges, including US Coinbase.

I hereby offer an invitation to welcome all global virtual asset trading operators including @coinbase to come to HK for application of official trading platforms and further development plans. Please feel free to approach me and I am happy to provide any assistance. pic.twitter.com/bcIi1IjMlc

— Johnny Ng Wu Jie Zhuang (@Johnny_nkc) June 10, 2023

He urged them to formally apply for a business license in Hong Kong, and explained that he would support them if they contacted Mr. Ng. The call appears to come as the U.S. Securities and Exchange Commission (SEC) filed lawsuits against Binance and Coinbase last week.

connection: Coinbase lawsuit SEC Gensler chairman “I don’t need virtual currency anymore”

In response to the tweet, a Coinbase representative only commented to CoinDesk, “Coinbase is focused on working with strict regulators, both in the U.S. and outside the U.S.”

Hong Kong is striving to become a cryptocurrency hub as Coinbase’s home country of the United States tightens its grip on cryptocurrency business. It also enforced new rules for exchanges this month, allowing them to offer trading services to retail investors if they meet the requirements. OKX, for example, indicated its intention to apply for a license in Hong Kong as of March this year.

connection: OKX app to offer 16 types of cryptocurrency trading for retail investors in Hong Kong

Global Expansion of Coinbase

Coinbase has made it clear that it will fight the SEC lawsuit. He intends to fight in court and aim to clarify US virtual currency regulations, but recently there have been many reports of movements related to businesses outside the United States. In March, Bloomberg reported, citing sources, that Coinbase was considering establishing a trading hub outside the United States.

connection: Coinbase to establish virtual currency trading bases outside the US = reports

Last month, the company’s CEO Brian Armstrong and other executives visited the United Arab Emirates (UAE). Armstrong assessed the UAE’s cryptocurrency regulation as positive.

connection: U.S. Coinbase CEO and other executives visit UAE and highly appreciate virtual currency regulations

At the same time, Coinbase executive Nana Murugesan commented that cryptocurrencies and Web3 could greatly contribute to economic and technological diversification in the UAE. “This region has the potential to become a strategic hub for Coinbase,” he said.

The company said in April that it is actively working in markets such as Singapore, Brazil, Canada, Abu Dhabi and Bermuda.

connection: Coinbase acquires license in Bermuda, prepares derivatives market = report

What is coinbase

A major U.S.-based cryptocurrency exchange. It was founded in 2012 and listed on the Nasdaq in April 2021. Although it entered the Japanese market, in January 2023, it announced that it would suspend transactions with existing Japanese customers and completely review its Japanese business.

Cryptocurrency Glossary