ChainCatcher news, the Secretary for Financial Services and the Treasury, Christopher Hui, chaired the fourth meeting of the Financial Technology Project Execution Coordination Group. He stated that the Hong Kong government and financial regulatory bodies have been strongly supporting the development of financial technology, including improving financial infrastructure, building a more vibrant fintech ecosystem, nurturing fintech talent, and facilitating discussions among participants on various aspects of fintech, including how to further integrate virtual assets into mainstream financial markets and the application of artificial intelligence in Hong Kong's financial markets. Cyberport and the Financial Management Bureau reported on the green and sustainable fintech concept validation testing funding scheme, as well as the latest developments in the wholesale central bank digital currency project Ensemble.

ChainCatcher news, Hong Kong Financial Secretary Paul Chan published a blog post, in which he pointed out that the Federal Reserve cut interest rates by 50 basis points last week, marking the first rate cut in over four years. Coupled with the recent rate cuts by several major central banks globally, this has strengthened the financial market's expectation of a gradual decline in global interest rates.The loose financial environment is also favorable for the asset market atmosphere and the business operating environment. Although under the linked exchange rate system, it can be expected that the future interest rate trend in Hong Kong will generally follow that of the U.S., the speed and extent of the cuts will depend on local capital flows and market conditions.In the context of a gradually improving overall environment, there is a greater need to further promote the Hong Kong market. As the appetite for investment risk gradually rises and investors chase higher returns, it is essential to explore broader and more diversified sources of funding for the Hong Kong market.Following the listing of the first ETF tracking Saudi Arabian stocks in the Asia-Pacific region at the end of last year, the Saudi Capital Market Authority recently announced the approval of the first ETF investing in Hong Kong stocks, which will be listed on the Saudi Stock Exchange, allowing local and Middle Eastern funds to invest more conveniently in stocks listed in Hong Kong. Hong Kong will continue to strengthen its promotion in various traditional and emerging markets and foster more cooperation. It is believed that as interest rates decline, it will better leverage funds from different markets to inject new momentum into Hong Kong's capital market.

ChainCatcher news, according to a report by Interface News, Hong Kong's Secretary for Financial Services and the Treasury, Xu Zhengyu, stated in Shanghai that this year marks the 10th anniversary of the interconnection between the Hong Kong and mainland markets. Currently, there is a RMB counter for Hong Kong stocks, and 24 large-cap stocks can be traded in either HKD or RMB simultaneously. We are now closely consulting with mainland regulatory authorities to implement allowing mainland investors to directly use RMB to purchase RMB-denominated stocks listed in Hong Kong, connecting the RMB counter to the Hong Kong Stock Connect.

ChainCatcher news, according to Jinshi reports, Hong Kong's Secretary for Financial Services and the Treasury, Hui Chengyu, stated that the one-year transition period for the licensing system for virtual asset service providers implemented in Hong Kong is about to end, and all virtual asset service providers in Hong Kong must submit their license applications by February 29 of this year.It is reported that all virtual asset service providers that do not submit applications by February 29 or before, and receive a "no license issuance notice" from the Securities and Futures Commission, must cease operations in Hong Kong.

ChainCatcher news, according to reports, Hong Kong's Financial Secretary Paul Chan stated in his speech at the Web3.0 Security Technology Summit that Cyberport has currently gathered over 210 companies engaged in Web3.0. Their founders come from more than 20 countries and regions around the world, actively applying relevant technologies in various aspects of life and business, ranging from payment systems, blockchain network security, to digital entertainment businesses, covering a wide range of industries.Paul Chan emphasized the need to seriously address and confront how to construct an effective regulatory framework while avoiding different risks, whether it be the spillover effects of the collapse of large overseas trading platforms or the implications of local scams. It is essential to proactively identify and eliminate risks, and to strengthen investor education comprehensively. In addition, he hopes to seek more new applications, new services, new models, and new products with an open attitude, maintaining a stable safety baseline, and with the flexibility of cross-sectoral understanding. The innovation and mutation of technology make cross-border collaboration the key to responding to technological innovation.

ChainCatcher news, the Hong Kong government has announced the establishment of a dedicated task force for the development of the third generation of the Internet (Web 3.0). The task force is chaired by the Financial Secretary Paul Chan, with 15 unofficial members from relevant industries, as well as representatives from key government officials and financial regulatory bodies. The term of the unofficial members will take effect from July 1, 2023, for a period of two years.Financial Secretary Paul Chan said: "The blockchain technology behind Web 3.0 features decentralization, security, transparency, and low cost, which can address many difficulties and pain points in finance, transactions, business operations, and even daily life. As an international financial center and a metropolis that values innovative technology, Hong Kong embraces the major trend of Web 3.0 development, actively leading and driving related innovative exploration and development while balancing 'appropriate regulation' and 'promoting development', creating more new application models, and striving to gather top enterprises and talents in this field to build a thriving ecosystem. The task force brings together the elites and professionals from relevant industries, and I believe their valuable insights will help Hong Kong develop into a Web 3.0 hub." (source link)

ChainCatcher news, Hong Kong Financial Secretary Paul Chan stated that promoting the development of innovation and technology is a key focus of the government's intensified efforts. The national 14th Five-Year Plan clearly positions and tasks Hong Kong to build an international innovation and technology center. Driving industrial upgrading, transformation, and diversified development through innovation and technology is the only way for Hong Kong to move towards high-quality development, while also assisting the country in accelerating the achievement of high-level technological self-reliance and strengthening, and speeding up the realization of Chinese-style modernization. Developing innovation and technology is a core issue for Hong Kong's future development.Paul Chan indicated that the Cyberport's tech ecosystem is also rapidly growing, with over 1,900 companies currently, and the total financing of startups has exceeded 35.7 billion HKD, along with more than 480 intellectual property projects. One of the companies in the Cyberport community became the second virtual asset trading platform in Hong Kong to be licensed by the Securities and Futures Commission last year.On the other hand, the "Budget" has allocated 50 million HKD for Cyberport to accelerate the development of the third generation of the Internet, Web 3.0, based on blockchain technology. In the past year, more than 150 related companies have settled in Cyberport, which is believed to bring more innovation in research and development and applications in this area. (Source link)

ChainCatcher news, the Financial Secretary of the Hong Kong Special Administrative Region, Paul Chan, stated at the 2023 Caixin Summer Summit that Hong Kong is actively promoting the development of virtual assets. Regarding opportunities and risks, there are indeed some virtual asset service providers that operate improperly, such as mixing their own funds with clients' funds, and operators running platforms while also acting as traders."But the fundamental technology of Internet 3.0 is blockchain, whether you like it or not, blockchain will definitely continue to develop in the future," Paul Chan said. Blockchain can build open, secure, and low-cost platforms, and Hong Kong plans to introduce a suitable regulatory system to promote the responsible development of Internet 3.0 and virtual assets in Hong Kong. (Caixin)

ChainCatcher news, the Secretary for Financial Services and the Treasury of Hong Kong, Xu Zhengyu, stated at the Legislative Council's Financial Affairs Committee regarding the development of Hong Kong's fintech and other innovative financial services that the Financial Secretary will establish a dedicated task force to provide recommendations on how to promote the sustainable and responsible development of the Web3 industry. The Hong Kong Monetary Authority (HKMA) is formulating a regulatory framework for "stablecoins" and plans to conduct a second round of public consultation within this year.Xu Zhengyu mentioned that Hong Kong currently has over 800 fintech companies offering various types of innovative and convenient financial services, including mobile payments, cross-border remittances, blockchain, virtual banks, virtual insurance, and virtual asset trading. In addition, the Digital Currency Research Institute of the People's Bank of China and the HKMA launched the second phase of the digital renminbi cross-border payment technology test last year, involving more Hong Kong banks and enhancing the digital renminbi wallet through "Faster Payment System." (Source link)

ChainCatcher news, Hong Kong Financial Secretary Paul Chan said today at the 2023 Digital Economy Summit that the emergence of Web3 is triggering a new wave of innovation in financial technology. Five years ago, Hong Kong had about 180 fintech companies, and now there are over 800 related enterprises, including cross-border financial services, blockchain services, etc. Virtual assets, stablecoins, DeFi, NFTs, and more. These technologies will become a major force for financial transformation in the coming years, and this is an irreversible trend.However, at the same time, some important questions have arisen, such as whether there are regulatory loopholes? Will risks be transmitted to the traditional financial system, threatening financial stability? How can we best protect individual investors from fraud and scams? Paul Chan stated that in promoting Web3, virtual assets, and other financial innovations, the Hong Kong government will continue to strike an appropriate balance between regulation and facilitation. The Hong Kong government is committed to creating a favorable environment for the flourishing of fintech companies. (Source link)

ChainCatcher news, at the Web3 Hong Kong Carnival summit held today, the Acting Secretary for Financial Services and the Treasury of the Hong Kong Special Administrative Region, Chan Ho-lam, stated that since Hong Kong launched relevant policies last year, various types of Web3 companies, including virtual asset exchanges, virtual asset cybersecurity companies, virtual asset wallets, and payment institutions, have decided to establish their international headquarters or expand their operations in Hong Kong. Hong Kong will implement a licensing system for virtual asset exchanges in June this year and has issued tokenized government green bonds in February this year.In addition, the Hong Kong budget announced a funding allocation of 50 million HKD to promote industry development. To attract and cultivate relevant talent in the industry, a brokerage student fintech internship program will be launched to allow more outstanding talent to dedicate themselves to the fintech industry in the future.

ChainCatcher news, Hong Kong Financial Secretary Paul Chan stated that promoting the development of the third generation of the Internet (Web3) must not undermine the stability of the financial system and investor protection, and appropriate regulation is necessary. He will establish a dedicated task force for the development of virtual assets to submit recommendations to the government on the sustainable and responsible development of the industry.

ChainCatcher news, according to CoinDesk, the Secretary for Financial Services and the Treasury of the Hong Kong Special Administrative Region, Hui Ching-yu, stated in an interview that he believes cryptocurrencies are more like an investment tool rather than a means to escape the constraints of fiat currency.In addition, Hui expressed that what excites him the most is the tokenization of green bonds, which simplifies the originally cumbersome process of issuance and investment. He also mentioned that technology can truly address bottlenecks in many areas, such as shortening the subscription time for initial public offerings.Regarding whether Hong Kong will allow licensed crypto exchanges to provide services to retail investors, Hui responded, "We need to consult the market. As the market and industry change, we work with them to reduce risks, manage them, and develop this ecosystem." (CoinDesk)