{"id":13766,"date":"2023-05-24T17:53:50","date_gmt":"2023-05-24T17:53:50","guid":{"rendered":"https:\/\/jmsc6110a.com\/capstone2023\/?p=13766"},"modified":"2023-05-29T14:19:58","modified_gmt":"2023-05-29T14:19:58","slug":"defi-in-hong-kong","status":"publish","type":"post","link":"https:\/\/jmsc6110a.com\/capstone2023\/defi-in-hong-kong\/","title":{"rendered":"New Money: Diving into DeFi in Hong Kong"},"content":{"rendered":"

[et_pb_section fb_built=”1″ fullwidth=”on” _builder_version=”4.20.4″ _module_preset=”default” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_fullwidth_header text_orientation=”center” header_fullscreen=”on” _builder_version=”4.20.4″ _module_preset=”default” background_enable_color=”off” background_video_mp4=”https:\/\/jmsc6110a.com\/capstone2023\/wp-content\/uploads\/2023\/05\/bitcoin_2.mp4″ global_colors_info=”{}”][\/et_pb_fullwidth_header][\/et_pb_section][et_pb_section fb_built=”1″ admin_label=”Anecdotal lead” _builder_version=”4.20.4″ _module_preset=”default” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.20.4″ _module_preset=”default” width=”50%” custom_padding=”0px||0px|||” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.20.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text admin_label=”\u201cThere is nothing else besides Web3.0 that can be done here in Hong Kong.\u201d” _builder_version=”4.20.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n

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\u201cThere is nothing else besides Web3.0 that can be done here in Hong Kong.\u201d<\/b><\/p>\n<\/blockquote>\n

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A<\/span>rwin has two favourite things in his life: Shisha and Web3.0<\/span><\/p>\n

Sitting at the balcony of MoonKok, a bar in Central, Arwin smokes a pot of \u2018sandalwood\u2019 and \u2018morocco\u2019 flavor shisha after a busy day of visiting the Web3.0 Festival in Hong Kong.<\/span><\/p>\n

Being the co-founder of BALM Ventures, a Web3.0 start-up company in the US, Arwin Hu flies back and forth between Hong Kong and San Francisco frequently. He hopes to see more of the Web3.0 industry in Hong Kong because\u2026<\/span><\/p>\n

\u201cHong Kong has an aging population as many young people have moved abroad. In the meantime, many financial institutions transferred to Singapore, and the re-exportation business has been declining as Hainan gradually became the re-exportation center for mainland China,\u201d he said. \u201cThere is nothing else besides Web3.0 that can be done here in Hong Kong.\u201d<\/span><\/p>\n

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Coinunited.io advertisement in Tsim Sha Tsui, Hong Kong.<\/em><\/p>\n

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Arwin\u2019s views about Hong Kong\u2019s current problems may sound aggressive, but the potential in Web3.0 development is bound to grow.<\/span><\/p>\n

\u201cFor decentralized finance in Web3.0, I\u2019m sure the highly developed centralized finance here could be its steady backup. For example, being the world\u2019s second largest art auction market, NFT could easily find its place in Hong Kong.\u201d<\/span><\/p>\n

So, how\u2019s Hong Kong doing?<\/span><\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ fullwidth=”on” _builder_version=”4.20.4″ _module_preset=”default” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_fullwidth_header title=”Where it all started…” text_orientation=”center” background_overlay_color=”rgba(0,0,0,0.37)” disabled_on=”off|off|off” _builder_version=”4.20.4″ _module_preset=”default” title_font=”||||||||” title_font_size=”32px” background_enable_color=”off” background_image=”https:\/\/jmsc6110a.com\/capstone2023\/wp-content\/uploads\/2023\/05\/DSC3339-scaled.jpg” background_position=”top_center” background_vertical_offset=”23%” custom_padding=”200px||200px||false|false” title_text_shadow_style=”preset2″ global_colors_info=”{}”][\/et_pb_fullwidth_header][\/et_pb_section][et_pb_section fb_built=”1″ admin_label=”intro” _builder_version=”4.20.4″ _module_preset=”default” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.20.4″ _module_preset=”default” width=”50%” custom_padding=”0px|||||” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.20.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text _builder_version=”4.20.4″ _module_preset=”default” custom_padding=”||30px||false|false” global_colors_info=”{}”]<\/p>\n

T<\/span>he year 2008 was when the global financial crisis hit hard. In January of that year, Time Magazine put \u2018NyLonKong\u2019 on their cover. This term is a contraction of New York, London, and Hong Kong. These three cities were the first to react and were the last ones standing.<\/p>\n

Challenge. Opportunity. Change.<\/b> NyLonKong were intertwined at the time, and they were ready to tackle the obstacles ahead.<\/span><\/p>\n

But when it comes to decentralized finance in Web3.0, Hong Kong seems to be too hesitant to make a move. Instead, Singapore has been chasing the position of being Asia\u2019s main financial center after Hong Kong with the help of decentralized finance.<\/span><\/p>\n

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Central, Hong Kong at night.<\/em><\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ fullwidth=”on” _builder_version=”4.20.4″ _module_preset=”default” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_fullwidth_header title=”How is Hong Kong doing with DeFi?” text_orientation=”center” background_overlay_color=”rgba(0,0,0,0.37)” _builder_version=”4.20.4″ _module_preset=”default” title_font=”||||||||” title_font_size=”32px” background_enable_color=”off” background_image=”https:\/\/jmsc6110a.com\/capstone2023\/wp-content\/uploads\/2023\/05\/DSC3444-scaled.jpg” custom_padding=”200px||200px||false|false” title_text_shadow_style=”preset2″ global_colors_info=”{}”][\/et_pb_fullwidth_header][\/et_pb_section][et_pb_section fb_built=”1″ _builder_version=”4.20.4″ _module_preset=”default” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.20.4″ _module_preset=”default” width=”50%” custom_padding=”0px||0px|||” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.20.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text admin_label=”\u201cHong Kong does not rely on policies to develop industries, but on its people\u201d” _builder_version=”4.20.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n

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\u201cHong Kong does not rely on policies to develop industries, but on its people\u201d<\/b><\/p>\n<\/blockquote>\n

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B<\/span>eing one of the \u2018Crypto Haven\u2019 countries, Singapore has pushed out regulations as early as 2017 following the boom of initial coin offerings in 2016. The regulations on cryptocurrency could effectively benefit virtual asset providers and investors by limiting the frauds in cryptocurrency. For example, the Luna Coin crash wiped out nearly US$60 billion in the cryptocurrency space.<\/p>\n

The regulations also put requirements on large entities by segregating the different functions of their business. So that failure like FTX, a large company that formerly operated cryptocurrency exchange and crypto hedge fund, would be avoidable. These regulations could also apply to financial institutions to balance and stabilize centralised finance and decentralised finance.<\/p>\n

However, Hong Kong didn\u2019t push out any regulations until 2022. Ultimately, does this mean Hong Kong is operating its crypto market without proper regulation?”<\/p>\n

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\u201cAlthough there was no specific legislative act in Hong Kong to regulate virtual assets, I don\u2019t think it would be appropriate to say Hong Kong was lawless on cryptocurrency since Hong Kong retains its common law system. This means misrepresentation, fraud or criminal offenses in all fields, including in the field of cryptocurrency,\u201d said Yunan Ren, CEO of OKG Technology, in a zoom interview.<\/p>\n

\u201cIt is important to note what attitude the Hong Kong government holds, but I don\u2019t think we need policies of any kind because Hong Kong does not rely on policies to develop industries.\u201d<\/span><\/p>\n

On October 31<\/span>st<\/span>, 2022, the Hong Kong government released the \u201cPolicy Statement on Development of Virtual Assets in Hong Kong\u201d to embrace the coming of Web3.0 and the Metaverse, as well as support NFT and stablecoins.<\/span><\/p>\n

The promulgation of the policy has provoked lively discussions, and its positive attitude towards Web3.0 development has attracted the participation of enterprises, investors, initiators, and sponsors in Hong Kong.<\/span><\/p>\n

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