The biggest online brokerage in Hong Kong, Futu Securities International, has enabled retail crypto trading, marking its entry into the cryptocurrency industry. It is believed that this action is a component of a larger plan to position Hong Kong as a world leader in blockchain technology and digital assets. To entice investors and encourage user engagement, the new effort offers incentives, including shares of notable companies and Bitcoin deposit bonuses.
Bitcoin Exposure to Millions of Users, a Bullish Outlook
Trading in Bitcoin and Ether is now available to retail clients of Futu Securities, a platform with a vast client base of more than 22 million people. Residents of Hong Kong can now use either Hong Kong dollars or US dollars to trade these top cryptocurrencies on Futu’s brokerage platform.
Futu is now the first online broker in Hong Kong to provide ordinary investors with direct access to Bitcoin and Ether, according to the South China Morning Post. After receiving authorization to offer virtual asset dealing services from the Hong Kong Securities and Futures Commission (SFC), Futu has decided to enter the cryptocurrency industry.
Futu is offering a variety of rewards to encourage involvement further. Chinese e-commerce behemoth Alibaba shares, a HK$400 grocery voucher, or 600 Hong Kong dollars in Bitcoin are up for grabs for investors in Hong Kong who register accounts in August and deposit HK$10,000 (US$1,280) within the following 60 days.
Investors who put down US$80,000 can choose Bitcoin or a stake in Nvidia, the US leader in artificial intelligence chips, or HK$1,000. It is worth mentioning that PantherTrade, Futu’s new cryptocurrency exchange, is one of eleven platforms that the SFC has not yet authorized in Hong Kong; yet, they are prepared to begin Retail Crypto Trading while they await final clearance.
One component of Futu’s aggressive foray into the cryptocurrency industry is the implementation of strategic marketing. Beginning on the date of the launch and continuing until further notice, the commission fees for trading cryptocurrencies will be eliminated.
Hong Kong’s Crypto Hub Ambitions, Pushing for a Crypto-friendly Country
Futu’s debut in cryptocurrency trading is in line with Hong Kong’s long-term goals of becoming a world-renowned crypto hub. An obligatory licensing system for cryptocurrency exchanges is just one of many new crypto policy measures implemented by the Hong Kong government in the previous two years. Nevertheless, the city-state has encountered difficulties, such as the withdrawal of license applications from numerous prominent crypto platforms.
Hong Kong is nevertheless determined to create a welcoming environment for bitcoin trading despite these challenges. In an endeavour to rank among the world’s top nations in the fintech industry, the Hong Kong government recently investigated DeFi and Metaverse. Bitcoin and Ethereum ETFs, together with the establishment of a stablecoin licensing, have just been approved, marking a strict beginning point for the nation.
As pointed out by Eddie Yue, CEO of the Hong Kong Monetary Authority, “We believe that a well-regulated environment is conducive to the sustainable and responsible development of the stablecoin ecosystem in Hong Kong.” This highlights the regulatory environment’s goal of promoting a responsible and sustainable digital asset ecosystem in Hong Kong.
It is believed that Futu Securities’ entrance into the cryptocurrency market would have a significant influence on the integration and adoption of digital assets in Hong Kong. Futu has the potential to generate a lot of retail volume for Bitcoin and Ether trading in the following weeks by capitalizing on its extensive client base and well-known brand.
Final Thoughts
Several obstacles have prevented Hong Kong from becoming a crypto powerhouse. Hkvaex and HTX are among the cryptocurrency exchanges that have pulled their licensing applications, even though the regulatory framework is supportive. Despite the positive developments, these obstacles highlight the persistent conflict in the worldwide cryptocurrency business over the relative merits of regulatory compliance and practicality.
