Hong Kong invites views from around the world on the future of web3 and virtual assets – TradingView News

Hong Kong Legislative Council member Johnny NG Kit-Chong said global industry views are currently being sought to propose policy recommendations and thematic discussions on the future direction of the Web3 and virtual assets industry.

According to a post on social media platform X, the Legislative Council has established a subcommittee on Web3 and virtual resources development to promote the development of Web3 and virtual resources in Hong Kong.

What Hong Kong is looking for

The proposal will be carefully analyzed, summarized and submitted to the government through the Legislative Council platform. The initiative aims to shape Hong Kong’s policy and regulatory landscape, positioning it as a global hub for Web3 innovation.

The Hong Kong Legislative Council is actively seeking feedback on several key aspects of Web3 policy development, including balancing the technical, legal and regulatory frameworks to create a coherent environment that supports the technical and legal aspects of Web3, ensuring robust and clear regulation.

The Council is also interested in views on strengthening international cooperation to strengthen Hong Kong’s position as a globally connected Web3 hub. This includes exploring the convergence of AI and Web3 technologies to improve artificial intelligence (AI) regulation.

This also includes developing policies to support the healthy development of decentralized autonomous organizations (DAOs) and developing strategies to attract and develop talent in Web3 technologies and financial innovation.

In addition to the Web3 policy, the Legislative Council is also focusing on the virtual assets industry and trying to identify measures to facilitate its development in Hong Kong. To achieve this, it is exploring ways to improve investor and consumer protection, increase confidence in the market and protect investors and consumers in virtual assets.

Additionally, the Council plans to assess the potential benefits and risks of stablecoins and develop a regulatory framework that balances financial stability with innovation. It also recognizes the growing demand for professional virtual asset custody services and develops appropriate regulatory measures to support this demand.

Hong Kong’s approach to the industry

In July 2023, the Hong Kong government established a task force consisting of 15 industry participants and 11 key government officials to oversee the development of Web3 and focus on ethically promoting its development.

However, the number of cryptocurrency exchanges applying for operating licenses in Hong Kong has been steadily decreasing. On May 13, cryptocurrency exchanges IBTCEX and QuanXLab withdrew their applications, originally submitted in February 2024.