HashKey Jeffrey: Interpretation of Hong Kong's Policy on Investment Immigration through Cryptocurrency Assets

The Hong Kong Investment Promotion Agency's approval of using crypto assets as proof of investment immigration assets is an important initiative in Hong Kong's financial innovation sector, attracting widespread attention both within and outside the industry. This policy not only provides a new immigration pathway for global high-net-worth digital asset holders but also injects new vitality into Hong Kong's financial market, paving the way for the development of the Web3 industry. The policy faces significant challenges during implementation, such as proving the source of funds and asset price volatility. As a key platform in Hong Kong's crypto asset trading sector, HashKey plays an important role in addressing these difficulties.

Significance of the Crypto Asset Investment Immigration Policy

Hong Kong is actively exploring paths for the integration of the digital economy and traditional finance, making innovative adjustments to its investment immigration policy by allowing crypto assets as proof of assets. This policy has gradually advanced through relevant approval cases involving Bitcoin and Ethereum, demonstrating its determination and practice in financial innovation.

In October 2024, the Hong Kong Investment Promotion Agency accepted the first investment immigration application proving a net asset of 30 million HKD with Bitcoin. The applicant provided detailed transaction records, wallet address proofs, some exchange bills, and an asset proof report issued by a professional certified public accountant, explaining the amount of Bitcoin held, the acquisition channels, and market valuation. After about a month of rigorous review, the application was approved, becoming the first successful case. In February 2025, another applicant submitted an application using Ethereum, which was professionally certified and accompanied by detailed transaction records and transfer vouchers. The approval process was more mature and efficient, and it was also successfully approved.

These approval cases have far-reaching significance. First, this policy opens the door to investment immigration in Hong Kong for a large number of global crypto asset holders, significantly broadening the audience for investment immigration. Given the current development status of the crypto industry, many Web3 practitioners around the world face difficulties in fully conducting their work due to regional policy reasons. This policy in Hong Kong also brings new development opportunities and hope for Web3 practitioners.

Second, the influx of crypto assets brings new liquidity to Hong Kong's capital market, enriching the types of investors and asset classes. This is not merely an expansion of the investment target list but rather creates a dual-track mechanism for "on-chain - off-chain" asset verification. Traditionally, Hong Kong's financial market has focused on stocks, bonds, and real estate as the main investment targets, while digital assets have long been on the fringes. The success of crypto asset investment immigration approvals marks the regulatory recognition of digital assets and their formal application in the investment field, attracting global crypto asset holders and prompting financial institutions to reassess the market value and risk management strategies of digital assets, laying the foundation for financial innovation. For example, this may encourage financial institutions to develop more financial products and services related to crypto assets, enriching the investment product line to meet the needs of different investors. This not only enhances market vitality but also strengthens the international competitiveness of Hong Kong's financial market.

Finally, for the Web3 industry, this move is undoubtedly a significant boon. By creating a more favorable policy environment, Hong Kong attracts global practitioners, entrepreneurs, and companies, further promoting its strategic goal of becoming a global hub for the Web3 industry. The legalization of digital assets lowers the entry barriers for the industry, attracting a large number of entrepreneurs and innovative companies to the Hong Kong market. This not only helps Hong Kong maintain a leading position in emerging technologies and the digital economy but also creates favorable conditions for the future integration of technology and finance.

Challenges Faced by Crypto Asset Investment Immigration Approvals

Despite the innovative and positive significance of Hong Kong's crypto asset investment immigration policy, there are many challenges during the approval process.

Proving the source of funds is a major challenge. Many applicants acquire crypto assets through various means, such as mining, over-the-counter trading, or gifts from friends, which leads to a lack of formal bank statements and continuous transaction records, making it difficult to clearly prove the source of assets, resulting in situations where "the coins can be withdrawn, but the money cannot be explained." Additionally, some exchanges have lost historical data, and the anonymity of blockchain makes it challenging to match wallet addresses with the applicant's true identity, increasing the difficulty for accountants and regulatory bodies in their reviews, affecting the accuracy and efficiency of approvals.

The drastic price fluctuations of crypto assets also complicate the approval process. Approval requires proof that the asset's market value meets certain standards, such as 30 million HKD, but the prices of crypto assets like Bitcoin and Ethereum can fluctuate significantly in a short period. Different accountants may use varying valuation methods, such as real-time market value or the average value over the past six months, further increasing the uncertainty of the approval process and affecting the fairness and stability of the results. For example, if the price of crypto assets drops significantly during the approval period, assets that originally met the market value requirements may no longer satisfy the standards, and the results derived from different valuation methods may vary widely, complicating the approval decision.

These challenges not only affect the smooth progress of crypto asset investment immigration approvals but also raise higher demands for the effectiveness of Hong Kong's financial regulation and the stability of its financial market. How to address these challenges and ensure the effective implementation of the policy is a key focus for Hong Kong's financial regulatory authorities and related institutions.

The Key Role of HashKey Exchange in Addressing Challenges

In the face of numerous challenges in the crypto asset investment immigration approval process, HashKey, as Hong Kong's leading compliant platform, will play a crucial role with its professional services and comprehensive business system.

As mentioned earlier, many applicants may find it difficult to clearly prove the source of their assets due to the diverse means of acquiring crypto assets.

HashKey Exchange has a comprehensive licensing system to ensure its operations are legal and compliant, as well as a robust KYC and KYT system that strictly adheres to AML and CTF requirements, ensuring that every transaction is transparent and compliant, and that the flow of funds is traceable. Applicants can use the platform's transaction records as proof of assets, which are recognized by regulators for their authenticity and credibility, providing strong support for investment immigration applications. For example, during the application process, the platform's transaction records can clearly show the transaction history and holding status of the assets, meeting regulatory review requirements.

For the asset custody needs of immigrant investors, HashKey Exchange currently custodies over 20 mainstream digital assets, using bank-grade vault management standards and providing insurance protection to reduce the custody risk for investors. The platform offers compliant fiat currency deposit and withdrawal channels, supporting the exchange of HKD and USD, with over-the-counter transactions supporting bulk trades of up to 30 million USD. This facilitates investors in converting digital assets into forms of funds that meet Hong Kong's investment requirements, satisfying the needs for subsequent investment operations after immigration. This ensures the safety and liquidity of the assets of investment immigration applicants, allowing them to proceed smoothly with subsequent investments and avoiding issues related to asset custody and fund conversion that could affect their immigration applications.

Additionally, there is the latest news. On February 17, HashKey Group's HashKey Capital launched the HashKey FTSE Digital Asset 20 Index Fund (HashKey 20), which is the first multi-token index fund for cryptocurrencies approved by the Hong Kong Securities and Futures Commission (SFC). The New Capital Investment Entrant Scheme (CIES) allows investment immigration investors to allocate up to 10 million HKD (part of the 30 million HKD investment threshold set by CIES) to the HashKey 20 Index Fund, achieving compliance with residency investment requirements while enabling compliant digital asset investments.

Conclusion

The Hong Kong Investment Promotion Agency's approval of crypto assets as proof of investment immigration assets marks a significant breakthrough in financial innovation, opening a new immigration pathway for global high-net-worth digital asset holders. Despite facing challenges such as proving the source of funds and price volatility, strict review processes and regulatory measures ensure the legality and stability of asset proof.

In the implementation of the policy, HashKey Exchange, as an important platform in the industry, demonstrates its core competitiveness in providing comprehensive compliance services, leveraging its advantages in compliant operations, professional services, and strong technical support to provide reliable services for investment immigration applicants. Through KYC/KYT systems, transparent transaction records, and rigorous risk control, it offers applicants reliable asset proof, while multi-currency custody and convenient fiat currency deposit and withdrawal services ensure asset liquidity and security, also providing strong support for the effective implementation of Hong Kong's financial regulation. Together, these efforts contribute to Hong Kong's financial innovation. Meanwhile, HashKey Capital's launch of the "HashKey FTSE Digital Asset 20 Index Fund" as a regulated multi-token investment tool not only standardizes asset valuation but also provides stable and diversified asset proof options for investors meeting immigration requirements.