Hong Kong is really taking steps that can help define it as a thriving hub for all crypto-related activities within the region.

according to a report by Bloomberg citing unnamed sources, the city’s top financial regulator, the Securities and Financial Commission (SFC) is ready to allow Bitcoin (BTC) re-registration and Ethereal (ETH) on exchanges that allow retail traders.

The news that Hong Kong SFC is considering a divergent crypto regulatory framework was first revealed by Elizabeth Wong, Head of Fintech at SFC as reported by Blockchain.News earlier this week. According to Wong, new concessions will be made for retail crypto traders, marking a departure from the previous stance instituted in 2018 that sees only institutional traders with $1 million in capital trading the nascent asset class.

The timetable for announcing the new regulatory frameworks is still unknown, however speculation abounds that the SFC will unveil its plans at a fintech conference that is scheduled to start on Monday. Hong Kong has lost its shine as the destination of choice for most major crypto firms and veterans.

With the new move, the city seeks to reverse its stance, thus creating an environment in which it can compete with other countries, including Singapore. With speculation surrounding the new crypto regime growing louder, stakeholder sentiment remains largely skeptical as many believe that China’s influence could continue to be a drawback for the company.

“The kind of conversations I had was that people still fear that there will be a very strict licensing regime,” said Leonhard Weese, co-founder of the Hong Kong Bitcoin Association. “Even if they can deal directly with retail users, they won’t be as attractive or as competitive as overseas platforms.”

The crypto ecosystem is gaining massive traction with the UK government taking impressive steps to regulate the industry. The SFC, as well as other up-and-coming nations, are not lagging behind in this trend and are ready to do their best to provide a conducive environment for all players.

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