ChainCatcher news, according to a report by the Hong Kong Commercial Daily, Hong Kong Legislative Council member Yau Liu Shuyi stated that as the only region in the country capable of developing cryptocurrency trading, Hong Kong should further relax regulations to expand the industry scale. She pointed out that although the SAR government released a policy declaration for the development of virtual assets in October 2022 and established a relevant regulatory framework, the current industry scale is still relatively small.Yau Liu Shuyi emphasized that the fintech industry is particularly suitable for development in Hong Kong, as it is a "light asset" industry that does not require significant infrastructure investment and mainly relies on technological innovations such as blockchain. She suggested accelerating the improvement of the regulatory framework to create a more favorable environment for industry development.

ChainCatcher news, on February 6th afternoon, 14 members of the Hong Kong Legislative Council C15+ met with Financial Secretary Paul Chan and other officials to discuss the new financial budget. Among them, Legislative Council member Wu Jiezhuang proposed a total of 22 suggestions across five major areas, including the development of the Web3 industry.In terms of supporting the Web3 industry, Wu Jiezhuang suggested continuing the development direction of the 2023/24 financial budget and proposed two key measures: first, to invest HKD 50 million to establish a seed fund, using a 1:1 matching ratio to support well-known overseas enterprises and large industry events to settle in Hong Kong; second, to allocate an additional HKD 50 million to establish a dedicated Web3 investment matching fund.

ChainCatcher news, Hong Kong Legislative Council member Wu Jietzhuang stated on social media that American AI and cryptocurrency "czar" David Sacks will hold a press conference with Republican representatives on February 4 to announce the establishment of a bipartisan working group to formulate cryptocurrency regulatory legislation.Wu Jietzhuang pointed out that although Hong Kong has established a three-tier regulatory framework similar to that of the United States, including a dedicated task force for the development of the third generation of the Internet, the Legislative Council's Web3 and Virtual Assets Development Subcommittee, and the Monetary Authority's stablecoin regulatory sandbox, there is still a need to accelerate the pace of development.He proposed five major suggestions: first, to expedite the research on the feasibility of Bitcoin as a strategic reserve for the region; second, to expand the permissions of stablecoin companies approved within the sandbox to accelerate practical applications; third, to seek national support for establishing stablecoin application pilot projects in the Greater Bay Area; fourth, to relax the trading varieties of licensed virtual asset trading platforms; fifth, to establish a digital asset office specifically to promote the development of AI and virtual assets. Wu Jietzhuang revealed that he has been invited to participate in the Bitcoin USA Summit held in Las Vegas in May, which will promote cooperation between the cryptocurrency industries of China and the United States.

ChainCatcher News, the Legislative Council of the Hong Kong Special Administrative Region has released the first thematic newsletter of 2025 titled "Consolidating Hong Kong's Status as an International Financial Center."The article states: The Legislative Council's Bills Committee is conducting a detailed review of the "Companies (Amendment) (No. 2) Bill 2024" and the "Stablecoin Bill" to introduce mechanisms that facilitate the migration of overseas registered companies to Hong Kong, as well as to introduce a licensing system for fiat-backed stablecoin issuers. Regarding the development of financial technology, the Legislative Council's Home Affairs Committee has established a subcommittee to examine the application and development of Web3 and virtual asset technologies in Hong Kong and to propose recommendations for implementing relevant regulations and policies.

ChainCatcher news, according to techinasia, the Hong Kong Legislative Council discussed the proposed "Stablecoin Bill" on January 23. This was the first meeting on the bill since its first reading on December 18, 2024. Key officials, including Francis Ho, Deputy Secretary for Financial Services and the Treasury, outlined the regulatory framework for stablecoins.The bill requires issuers to obtain a license from the Hong Kong Monetary Authority (HKMA) and maintain reserves of high-quality, highly liquid assets. The proposed legislation aims to ensure compliance and stability, supporting Hong Kong's strategy to attract international cryptocurrency companies.On the same day, the Legislative Council subcommittee reviewed the licensing framework for cryptocurrency trading platforms.

ChainCatcher news, in August this year, the Hong Kong High Court heard the world's first lawsuit involving "Decentralized Autonomous Organizations (DAO)", ruling that six defendants must disclose detailed financial statements and supporting documents for their blockchain and Real World Asset (RWA) projects in response to allegations of asset misappropriation, involving over 6 billion HKD. Wu Jiezhuang, Chairman of the Hong Kong Legislative Council, Web3 and Virtual Asset Development Forum Committee, believes that the current development framework for Web3 in Hong Kong is still not完善, and suggests that the SAR government introduce regulations for DAO.He stated that the entire digital asset ecosystem can be divided into two important segments: one is exchanges, and the other is public chains, which usually exist in the form of DAOs but are like "orphaned souls" without a place to land worldwide. If Hong Kong wants to develop a digital asset ecosystem, it needs to regulate DAOs as soon as possible and establish a framework for DAOs so that these public chains can land in Hong Kong.Wu Jiezhuang further pointed out that the United States and Abu Dhabi already have relevant legal frameworks regulating DAOs, and Hong Kong should establish one as soon as possible. Since DAOs do not have legal entities, he suggested that the SAR government could refer to the current licensing practices in the securities industry to establish a DAO licensing system, requiring licensed DAOs to clarify internal individual relationships and to establish Responsible Officers (RO) to ensure that licensed companies comply with regulatory requirements and maintain daily operations.

ChainCatcher news, according to Hong Kong Wen Wei Po, Hong Kong Legislative Council member and chairman of the Web3 and Virtual Assets Development Task Force, Wu Jiezhuang, stated that regarding how the Hong Kong virtual asset market can serve the needs of the country in the future, it is possible to explore the introduction of a "Digital Pass," which would open a special channel allowing mainland investors to buy and sell digital assets recognized by Hong Kong. This would further enrich the connotation of connectivity between the mainland and Hong Kong, while also benefiting financial innovation and cultivating new productive forces.The mainland prohibits cryptocurrency trading; however, under "one country, two systems," cryptocurrency trading in Hong Kong is legal. Similarly, while gambling is banned in the mainland, it is legal for mainland citizens to gamble in Macau. Therefore, Wu Jiezhuang believes that the connectivity of financial markets between the mainland and Hong Kong, and whether to allow mainland citizens to invest in virtual assets recognized by Hong Kong in the future, will mainly depend on the overall development of the international situation. He believes that the mainland will adjust its policies in a timely manner. Currently, the United States is actively embracing digital assets, and the mainland also places great importance on developing the digital economy, viewing it as a new productive force. The SAR government is also listening to the voices of the industry and embracing the new track of the digital economy.

ChainCatcher news, the draft regulations for the supervision of stablecoin issuers have been submitted to the Hong Kong Legislative Council for review this week. Legislative Council member and chairman of the Web3 and Virtual Assets Development Subcommittee, Wu Jietzhuang, pointed out that stablecoins are part of the infrastructure of virtual assets. In addition to being used for investment, they can also facilitate cross-border payments, making them an important tool for citizens to participate in virtual assets. However, the current regulatory direction suggests that issuers should entrust their reserve assets to Hong Kong banks, which may not comply with the local regulations of individual coin merchants. Efforts will be made to communicate with the government and the industry to seek a compromise solution, such as establishing contracts or notes for mutual recognition between the two regions, while not requiring the assets to be held in Hong Kong.

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.