As part of its 2023-2024 government budget, Hong Kong will allocate about $6.3 million for Web3 advancement. As revealed, the funds will aid the region to enhance the growth of the Web3 ecosystem. The latest development emanates as part of Hong Kong’s effort towards embracing blockchain innovations like cryptocurrency and stablecoins.
Furthermore, the Hong Kong government will as well set up a committee on digital assets advancement. According to the announcement, the committee will be saddled with the responsibility of providing guidelines in support of enhancing the industry in a sustainable manner. Notable members of the committee are financial regulators, lawmakers and market participants.
Meanwhile, the Financial Secretary of the Hong Kong government, Mr Paul Chan further gave an insight into the latest development. In his budget speech, the Secretary confirmed the intention of the government to allocate $6.3 million for Web3 advancement.
Also, Chan indicated that the government will organize international conference on Web3 development. Chan divulged that the conference will aid Web3 startups to understand the pursuit of the government and contribute to it by ensuring cross-sectoral business cooperation. Similarly, the Financial Secretary revealed that the government will organize Web3 incubator programs to encourage youths to partake in its Web3 scheme.
How Hong Kong will focus on virtual assets
More so, Chan spoke about the importance of virtual assets to a working Web3 ecosystem. In his words, Paul Chan explained that virtual assets are important to a vibrant Web3 ecosystem. He spoke about Hong Kong government’s relaxed approach towards the crypto sector of late is already bearing good results. To further emphasize his point, Chan revealed how notable crypto organizations are venturing into the region’s market in a large volume. Chan’s assertion coincides with how crypto firms like Huobi and Bitget are eyeing to set up their presence in the region.
Lastly, Paul Chan discussed how Hong Kong will pursue the introduction of its Central Bank Digital Currency. He added that the region will look towards testing the innovation for numerous financial technology systems. Some of these areas are the virtual HKD and CNY. Also, Chan added that the region will work on designing a cross-border payment system.
Recently, Hong Kong has shown a high degree of admiration to facilitate the growth of virtual assets in its sphere. Early this week, the Hong Kong administration revealed plans to allow cryptocurrency trading in its region. The development surfaced shortly after the region unveiled plans to regulate Stablecoins. According to reports, Hong Kong’s embracing posture to virtual assets is receiving a subtle backing from China.