Hong Kong Executive Council legislator Johnny Ng recently took to X(Twitter) to share his perspectives on Bitcoin and Web3, highlighting the global significance of these technologies and Hong Kong’s role in their development. His comments come in the wake of former U.S. President Trump’s speech at the U.S. Bitcoin Summit, which emphasized Bitcoin’s growing importance in global finance.
Ng emphasized the pivotal role of Bitcoin and Web3 in globalization, stating that blockchain technology has introduced significant innovations in finance and real-world applications. He urged for collaborative global development, aligning with the broader application of blockchain technology.
Hong Kong’s Consideration for Bitcoin Financial Reserve
Ng also mentioned the possibility of Bitcoin turning become a recognised currency for certain nations or areas. He pointed out that Bitcoin, sometimes known as “digital gold,” is becoming more and more accepted around the world and said that, if it complies with regulations, it might be taken into account for inclusion in strategic financial reserves.
“I will discuss the feasibility and opportunities of including Bitcoin in financial reserves with different stakeholders in Hong Kong,” Ng tweeted. “I will report the situation to everyone in a timely manner.”
Ng emphasised that Hong Kong must quicken the pace at which its Web3 environment is developing. He emphasised the city’s leadership in industry growth and compliance with regulations in the area and conveyed his confidence that the government of the Hong Kong Special Administrative Region (HKSAR) would responsibly and gradually expand the market. He said:
“At the same time, Web3 represents technological and application innovation, so Hong Kong should further build an ecosystem to attract globally competitive talent and capital, public chains and exchanges, enterprises and projects, etc. to the city, to foster the technological development of the industry.”
Tension in the Hong Kong Legislative Council
Despite these optimistic views, there are concerns within Hong Kong’s legislative body about the city’s push to develop Web3. Duncan Chiu, a member of Hong Kong’s Legislative Council, expressed scepticism in an opinion piece published in the Hong Kong Economic Journal in early June.
Chiu highlighted the recent license withdrawals of multiple global crypto exchanges, which have “shaken the confidence of market participants in Hong Kong’s push to develop Web3.”
Hong Kong and the Journey of Crypto
Hong Kong’s Web3 business has advanced in several ways. Like the US, the city introduced its cryptocurrency exchange-traded funds (ETFs) in May. Nevertheless, a lot of obstacles have stood in the way of these attempts, and many projects have failed to get the anticipated traction.
Ng’s remarks are indicative of a larger conversation in Hong Kong over the prospects for blockchain technology and virtual currency. Rebuilding market trust, assuring compliance, and encouraging innovation continue to be the city’s top priorities as it navigates these difficulties.