Paris-based institutional crypto market data provider, Kaiko’s CEO, Ambre Soubiran, has stated that the US government’s stringent stance towards cryptocurrency regulation may lead to a shift in the “center of gravity” of the industry to Hong Kong. With the US appearing to regulate by enforcement, there is a growing feeling that many companies, developers, and investors will seek friendlier environments elsewhere. Soubiran suggested that Hong Kong’s more favourable approach to regulation could make it the “center of gravity” for cryptocurrency trading and investments.
More than 80 virtual asset-related firms have expressed an interest in setting up shop in Hong Kong, and 23 crypto firms have already indicated they plan to establish their presence. Chinese banks have reportedly started offering banking services to crypto firms in Hong Kong. Kaiko is relocating its Asian-Pacific unit’s headquarters from Singapore to Hong Kong due to the country’s supportive crypto stance.