Hong Kong is doubling down on its ambition to become a leading crypto and Web3 hub, with Financial Secretary Paul Chan Mo-po reaffirming the city’s commitment to an open and vibrant digital asset market.
Speaking at Consensus 2025, Mo-po emphasized that Hong Kong will remain a stable and innovation-driven market for crypto, ensuring sustainable growth through investment in infrastructure and talent development.
Building a Thriving Web3 Ecosystem
Hong Kong has been working hard to attract blockchain firms and foster a dynamic Web3 ecosystem. Mo-po highlighted that the government is investing heavily in Web3 infrastructure, fintech, and education.
“Our Cyberport and Science Park have become key hubs for Web3 innovation, while universities and industry partnerships are nurturing a new generation of blockchain experts,” Mo-po stated.
As a result, Hong Kong’s Cyberport Web3 network now hosts over 270 blockchain firms, with more than 120 added in the past 17 months.
Crypto-Friendly Regulations to Attract Investors
To attract hedge funds, private equity firms, and family offices, Hong Kong has introduced tax exemptions on crypto gains and is developing a regulatory framework that balances innovation with investor protection.
Despite a strict licensing regime, the Securities and Futures Commission (SFC) has issued nine crypto licenses since mid-2024, with PantherTrade and YAX receiving approvals in January 2025.
Mo-po stressed that fair and forward-looking regulations will be key to maintaining Hong Kong’s position as a financial innovation hub.
“Success lies in an open, balanced, and transparent regulatory approach that fosters sustainable and responsible development,” he explained.
AI & Blockchain: The Next Big Innovation
Looking ahead, Mo-po sees the convergence of AI and blockchain as a major opportunity.
“AI is evolving rapidly and becoming a crucial part of financial services. Its integration with blockchain will unlock new use cases, bringing both opportunities and challenges,” he said.
Hong Kong has already taken steps toward AI adoption, with the Financial Services and Treasury Bureau introducing a dual-track AI policy in October 2024. The government and financial regulators are working with industry leaders to monitor technology trends and create a clear AI regulatory framework.
Final Thoughts
With strong government backing, strategic investments, and a commitment to balanced regulation, Hong Kong is shaping up to be a major force in crypto and Web3 innovation.
