Hong Kong securities regulator outgoing chairman Carlson Tong Ka-shing says that his agency is looking at ways to tighten security in the crypto sector. In particular, the Securities and Futures Commission (SFC) is putting cryptocurrency trading exchanges which are already operating in the country under the microscope.
However, the Hong Kong securities regulator admits that he does not really agree with the concept of a total ban on cryptocurrency exchanges. In an interview with the South China Morning Post, Tong Ka-shing said, “We do not think imposing a total ban on these platforms is necessarily the right approach, and it will not work in today’s internet world when trading can cross national boundaries. Even if we were to ban them, transactions can still be easily conducted via platforms in overseas markets.”
The stance does make sense, and the cryptocurrency sector in Hong Kong is open to the idea. In fact, Angelina Kwan, chief operating officer of The Bitcoin Mercantile Exchange (BitMEX), has stated that they are happy to work with the regulators in laying out regulations for the sector.
“We hope the guidelines or regulations being considered will keep pace with market developments…the US has introduced regulations over cryptocurrency and there are futures products being traded by the CME Group and the CBOT. This shows that a regulatory authority can help to develop a new industry,” she told the South China Morning Post.