ChainCatcher news, the Hong Kong Legislative Council's Web3 and Virtual Assets Development Subcommittee held a meeting on November 19 to discuss the promotion of blockchain technology applications and Web3 development. Business sector member Yan Gang suggested combining the virtual asset index with the development of local stablecoins, allowing Hong Kong to gain a certain degree of influence in the pricing power of virtual asset trading. He hopes that the SAR government will further plan in this regard.

ChainCatcher news, Hong Kong Special Administrative Region Legislative Council member Yiu Tak-ken stated at the establishment event of the Hong Kong Compliance Industry Association, "I believe stablecoins represent a huge market, and various countries are trying, and everyone is paying attention. However, we need to wait for the regulatory details from Hong Kong to move forward. As a Legislative Council member, I am interested in whether we can issue a stablecoin based on the Renminbi in Hong Kong, as this is a massive market."

ChainCatcher news, according to Cointelegraph, Hong Kong Legislative Council member Kenneth Lau said that Hong Kong is prepared to strengthen its digital asset regulation within the next 18 months, marking an important step towards Hong Kong's mission to become a global fintech hub.Kenneth Lau stated that the digital asset industry has made significant progress in recent years, but Hong Kong is still in a very early stage. Hong Kong should establish a comprehensive trading system and introduce legislation related to stablecoins as soon as possible.In addition, Kenneth Lau revealed that sandbox testing has begun, and the government plans to enhance the regulation and enforcement of laws related to digital asset financial products within one to one and a half years. The next phase will encourage project teams to explore more innovative financial products in Hong Kong.

ChainCatcher news, Hong Kong Legislative Council member Wu Jietzhuang stated that Interpol has issued a red notice for Huang Zhengjie and Mo Junting, believing that the police will definitely find a lot of evidence to prove the roles of the individuals involved in the case, and also to prove that blockchain and the internet are not lawless areas, and that fraudsters will definitely be brought to justice. He also pointed out that the arrest warrant is not merely symbolic, as governments around the world take commercial fraud cases very seriously and will cooperate and support efforts, expecting that those involved will be apprehended soon.Wu Jietzhuang also stated that the Legislative Council will establish two new laws regarding virtual assets in the future, including regulations on stablecoins and over-the-counter trading, which are expected to be introduced for the first reading in the Legislative Council by the end of this year and early next year. He reminded that if anyone claims that investing in virtual currencies is low risk with high returns, one must be cautious; secondly, all investment products must be purchased from licensed institutions, and relevant information can be found on the Securities and Futures Commission's website; finally, the SAR government can increase resources for investor education.

ChainCatcher news, Hong Kong Special Administrative Region Legislative Council member Yan Gang stated in an interview that the development of the digital Hong Kong dollar should be accelerated, financial products enriched, and market influence enhanced. Digital currency adapts to the digitalization of finance and has the potential to lead innovation in the fintech sector. By establishing more efficient payment and financial infrastructure, digital currency can improve the efficiency and convenience of the financial industry. Developing digital currency in Hong Kong can also attract more fintech and blockchain-related companies to develop in Hong Kong, further promoting the city as an innovation center for fintech and enhancing the innovative technological content of the international financial center, thereby elevating its status as an international financial hub. It is recommended that the government learn from the experience of the mainland, collaborate deeply with relevant mainland units, accelerate the process of the digital Hong Kong dollar, and actively research the promotion of the digital currency economy.

ChainCatcher news, Hong Kong Legislative Council member Lee Wai-hung (Financial Services Sector) suggested that the Hong Kong SAR government could take optimization measures on a series of financial policies to further promote the development of Hong Kong's financial services industry. He pointed out that the industry welcomes the SFC's acceptance of industry opinions, allowing retail investors to participate in large cryptocurrency transactions in a moderate manner regarding virtual asset trading. He suggested that regulatory agencies strengthen investor education to steadily increase retail investor participation in various virtual asset product trading, and emphasized that their trading on local compliant platforms will receive greater regulatory protection to promote the development of Hong Kong's virtual asset market.

ChainCatcher news, according to the Hong Kong Commercial Daily, Hong Kong financial sector legislator Chan Chan-ying stated that the new quality productivity of Hong Kong's financial industry is currently mainly developing along two main themes: digital and green. In terms of virtual assets, Hong Kong regulators should establish relevant trading platforms, stablecoin licensing, testing, and operational mechanisms to capture digital development trends and share relevant regulatory experiences with the mainland. At the same time, Hong Kong's tokenized bond development is leading globally, and it can share the relevant product issuance and trading systems with the mainland, or guide more mainland enterprises to issue bonds, together meeting the demands of the international market.

ChainCatcher news, the Hong Kong Legislative Council's Web3 and Virtual Assets Development Subcommittee has announced the election results for its chairman and vice-chairman. According to Legislative Council document CB(1)769/2024, Legislative Council member Wu Jiezhuang has been successfully elected as the chairman of the subcommittee.The establishment of the Web3 and Virtual Assets Development Subcommittee primarily examines the application and development of Web3 and virtual asset technologies in Hong Kong, and makes recommendations on the implementation of relevant regulations and policies. The subcommittee's first meeting will be held on June 17, 2024 (Monday) from 4:30 PM to 5:00 PM in Conference Room 2A of the Legislative Council Complex.Wu Jiezhuang stated that in the coming year, he will actively work with the SAR government, industry, and society to transform the Hong Kong Special Administrative Region into an international Web3 center.

ChainCatcher news, Hong Kong Legislative Council member Kenneth Lau recently stated in an article titled "Three Pillars to Assist the Future Development of Web3" that this month (March), the Monetary Authority launched a "sandbox" for stablecoin issuers... The Hong Kong government is gradually updating policies, with the aim of maintaining overall financial stability, and progressively allowing Web3 financial products to be launched in the market.After multiple layouts, it is estimated that the unresolved issue is whether virtual asset custody services need to be independently licensed. Once this remaining piece of the puzzle is addressed, the legal foundation and regulatory framework concerning virtual assets will be largely complete. Moving forward, Hong Kong needs the market to combine blockchain technology and financial innovation to launch various new products and services, leveraging technology to enhance Hong Kong's competitiveness as an international financial and innovation center.

ChainCatcher news, Hong Kong Legislative Council member Wu Jietzhuang stated in an exclusive interview: "Hong Kong's (Web3) development is actually very lagging, much slower than expected, to the point of being unbelievable."Wu Jietzhuang mentioned that the general public's understanding of Web3 is quite limited, still stuck in the perceptions from years ago regarding cryptocurrency speculation and money laundering, with a lot of negative impressions. The rapid development of Web3, blockchain, AI, big data, etc., hopes to provide young people in Hong Kong with new opportunities and directions for development.

ChainCatcher news, the Hong Kong Legislative Council's Financial Affairs Committee will discuss the regulation of virtual asset trading platforms on the 9th of next month. The committee chairman, Lam Kin-fung, stated that the chairman of the Securities and Futures Commission (SFC), Tim Leung, and the CEO, Leung Fung-yi, have been invited to attend. He hopes that the SFC will soon publicly disclose the names of suspicious institutions and launch "grounded" promotional methods to enable investors to take timely precautions and promote the industry's development.Lam Kin-fung indicated that the JPEX incident reflects the inadequacies of the relevant regulatory agencies and government departments in regulation and public education. He mentioned that the SFC has announced plans to further enhance information dissemination and optimize existing systems, including publishing the list of licensed virtual asset trading platforms, the list of those that have ceased operations, the list of platforms considered licensed, and the list of applicants that have attracted the most public attention on its website. This will provide investors with more specific and clear information, which will also benefit the media and the public in monitoring.Lam Kin-fung believes that in addition to publishing relevant information on the website, the SFC should also conduct public promotions through more diversified and "grounded" methods, including holding press conferences and using social media to update information in a timely manner, especially in the event of emergencies, to strengthen immediate response and crisis management effectiveness.

ChainCatcher news reports that the unlicensed virtual asset trading platform JPEX recently proposed a "DAO Stakeholder Dividend Plan" and claimed that 70% of users participating in the referendum agreed on the first day.Hong Kong Legislative Council member Huang Jun-shuo reminded that under the plan, investor dividends can be a maximum of 49%, which means that the decision-making power still lies with JPEX. Investors should be particularly cautious, as transitioning from creditors to shareholders does not guarantee the recovery of investment funds; if the company incurs debts, it could lead to users being "burdened with debt."

ChainCatcher news, in response to the concerns of many industry insiders that the recent unlicensed cryptocurrency exchange JPEX case in Hong Kong may lead to more cautious cryptocurrency regulatory policies in Hong Kong, Legislative Council member Wu Jiezhuang stated in an interview with ChainCatcher: "The JPEX case, as a single event, will not overall affect Hong Kong's cryptocurrency regulatory policies. Currently, the JPEX case has not been adjudicated, and it only indicates that the exchange has suspicions and possibilities of fraud, which may not involve cryptocurrency trading activities. I have also communicated with the leaders of government departments, and they similarly believe that the JPEX incident will not have a significant impact on overall policy. Instead, they view this incident as a good education for investors, emphasizing that trading should be conducted on licensed exchanges to ensure asset safety."In addition, Member Wu Jiezhuang also mentioned that the JPEX case has highlighted some regulatory loopholes, such as the fact that offline cryptocurrency exchange shops have not yet been included in regulation, which is something the government needs to improve in the future. Furthermore, the government should disclose suspicious information as early as possible and timely remind users to minimize their losses.

ChainCatcher news, according to the Hong Kong Economic Journal, regarding the unlicensed cryptocurrency exchange JPEX, Hong Kong Legislative Council member Wu Jietzhuang stated that this incident involves a large number of victims, far exceeding the 86 individuals and several tens of millions (HKD) reported by the police two days ago. The incident has widespread implications, and he hopes the police will take action soon. He also pointed out that this incident highlights the need for the public to be aware of investment risks, understand investment products, and urged investors to invest on licensed platforms.Legal advisors recommend that affected individuals should take screenshots of electronic transactions and related information to provide more evidence to the police or the Securities and Futures Commission; otherwise, electronic records may be lost or deleted.

ChainCatcher news, Hong Kong Legislative Council member Yau Tak-gin published an article in the Hong Kong Wen Wei Po stating that this is a critical moment for Hong Kong to develop Web3. While maintaining stability and order, it is also necessary to encourage technological innovation to attract various elites. Currently, some Web3 application solutions are highly anticipated, but to truly implement them on a large scale in the community, three factors are essential: first, the underlying technology still needs time to mature; second, the public needs to understand the application scenarios of Web3 and adapt to the various changes that new technologies bring to society and life; third, policies and regulations must keep pace to support the orderly and compliant development of Web3.In addition, in recent months, some malicious individuals have taken advantage of the Hong Kong government's push for Web3 development to engage in illegal activities, such as promoting certain "air coins" through pyramid schemes for fraud. Others operate illegal platforms for fundraising. These operators ultimately flee or go bankrupt, tarnishing Hong Kong's reputation and significantly undermining the healthy development momentum of Web3. Therefore, regulatory agencies should closely monitor and work with law enforcement to ensure that criminals do not exploit the name of Web3 to make money in Hong Kong.Yau Tak-gin also stated that the Securities and Futures Commission should promptly disclose operators who do not intend to apply for licenses or are not granted licenses, allowing the public to avoid trading with "doomsday" platforms. The Hong Kong government should also be vigilant against exaggerated and misleading advertising content from certain platforms, warning retail investors. Furthermore, the government should enhance public education, take the lead in launching reliable Web3 application solutions and scenarios, and help the public become familiar with them in daily life. In the long run, it is necessary to legislate to regulate Web3 products, allowing citizens to use or purchase Web3 products in a transparent, compliant, and safe manner, which is a reasonable safeguard.

ChainCatcher news, according to a report by the Hong Kong Economic Journal, Legislative Council member Wu Jiezhuang revealed that he took advantage of the Legislative Council's summer recess to visit six provinces in mainland China and Singapore for inspections. During his visit to Singapore, he found that it is quite common for large luxury goods transactions, such as private jets, to be conducted using virtual currencies like USDT. He believes that Hong Kong should catch up quickly and improve its regulatory framework. He also thinks that the digital Hong Kong dollar to be launched in the future can play the role of a stablecoin, promoting the development of virtual asset trading in Hong Kong.

ChainCatcher news, according to Sing Tao Daily, Hong Kong "Legislative Council C15+" members today submitted a policy report proposal to Hong Kong Chief Executive John Lee. Among them, Wu Jiezhuang, representing the innovation and technology sector, called for Hong Kong to develop a "digital Hong Kong dollar" to make Hong Kong a "virtual asset-friendly city," facilitating the use of virtual currency for daily transactions through policy.

ChainCatcher news, according to Ming Pao News Network, after Hong Kong regulators established a regulatory framework for virtual assets, the industry has been eager to apply for virtual asset licenses. Legislative Council member Lee Wai-hung stated that due to the supply-demand imbalance in the market, the salaries of responsible officers (RO) for license type 7 (ATS, Automated Trading System) have risen significantly.According to him, the normal monthly salary level for current license holders typically ranges from 100,000 to 200,000 HKD, and there are also several individuals seeking employment. He suggested that to effectively alleviate the situation, it would be advisable to allow license holders of type 7 to co-manage with industry experts while enhancing training to meet the industry's manpower needs in the development of virtual assets.