While many see Hong Kong as ideally positioned to become a global hub for digital currencies and internet finance, the road forward seems far from clear.
There’s no doubt Hong Kong is one of the world’s financial centres. But when it comes to crypto currencies, will Hong Kong still be in a leading position?
Bitcoin, which gained massive global public attention at the beginning in 2014 followed by a spike in its value, first surfaced in 2009. It is a payment system invented by Satoshi Nakamoto in 2008 and was introduced as open-source software one year later. It is a peer-to-peer (p2p) system where users can transact Bitcoins directly. Among other crypto currencies such as Litecoin (LTC) and Ripple, bastion remains the best-known and most widely used.
Some regulators and the business community in Hong Kong is reluctant to commit fully to such a role as the global hub for digital currencies while other financial centers, notably Singapore and London, are catching up.
There are several bitcoin-related organisations in Hong Kong such as Bitcoin Group HK, local Bitcoin exchange ANXBTC, Gatecoin and Bitcoin business incubator Seedcoin.