Hong Kong legislator Johnny Ng said he would explore the feasibility of adding Bitcoin to the city’s financial reserves.
His interest follows former US President Donald Trump’s announcement at the Bitcoin 2024 conference in Nashville that he would establish a strategic Bitcoin reserve in the US.
Hong Kong’s Potential Bitcoin Reserve
Ng, while acknowledging Trump’s speech, noted that integrating Bitcoin into national or regional financial reserves is worth exploring, given BTC’s increasing global acceptance and its perception as “digital gold.” However, he pointed out that such measures needed to be done in compliance with regulatory standards.
“I will discuss the feasibility and opportunities of including Bitcoin in financial reserves with different stakeholders in Hong Kong, and will report the situation to everyone in a timely manner,” Ng added.
Ng’s view is unsurprising, considering Bitcoin proponents have increasingly urged governments and corporations to adopt BTC for their treasury. Already, the industry has seen a proliferation of companies, including MicroStrategy, Metaplanet, and others, diversifying their reserves with BTC because they believe the flagship digital asset can help hedge against rampaging global inflation.
Read more: What Is Bitcoin?
Meanwhile, the pro-crypto lawmaker also acknowledged the growing importance of Web3 as a significant milestone in the evolution of globalization. According to him, blockchain technology has introduced many financial innovations and practical applications that encourage global development.
Ng further noted that Hong Kong is at a critical point for the sector’s regulatory and industrial development. So, he posited that the city must enhance its ecosystem to attract top global talent, investment, public blockchain projects, and exchanges.
“Hong Kong must accelerate the development of the Web3 ecosystem. Now Hong Kong is at the forefront of the region in terms of compliant regulation and industry development, and I believe the HKSAR government will open the market in a gradual, progressive and responsible manner,” he stated.
Read more: Crypto Regulation: What Are the Benefits and Drawbacks?
Ng’s statement comes at an interesting time as Hong Kong continues to build efforts to establish itself as a crypto hub. In recent months, the city has introduced several regulations, including proposed stablecoin legislation designed to better protect crypto users and attract new investments to the region. This approach starkly contrasts with neighboring China’s broader crackdown on crypto trading and mining.
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