Hong Kong government plans to explore blockchain technology in financial services

Blockchain technology has once again confirmed to be an ally of the Hong Kong government. In the recent 2016 Hong Kong Budget speech, Financial Secretary John Tsang spoke a lot about the Asian Monetary Center, including blockchain technology and the recent Hong Kong protests. Although Bitcoin is not explicitly mentioned in the budget plan, the vast majority of existing blockchain technology companies registered in Hong Kong work through the Bitcoin blockchain. The government plans to build an educational platform for Fintech and a $200 million Cyberport Macro Fund. In the next 5 years, the Hong Kong government will attract investment for 150 Fintech startups (explicitly including blockchain companies). According to paragraph 63 of the 2016 Hong Kong Budget:

The government will encourage relevant industries and organizations to explore the application of blockchain technology in the financial services industry, so as to tap the potential of blockchain technology in reducing suspicious transactions and lowering transaction costs.

Hong Kong is the region with the strongest interest in Bitcoin in China

It would be profound to view the Hong Kong government’s commitment to supporting blockchain technology experiments as a favor from the Chinese government. The outer space controlled by the Chinese Communist Party has been allowed to innovate more or less in recent decades. Companies in the Special Economic Zone (SEZ) benefit from Western consumers and Western cultural practices, such as capitalism. Those that succeed are praised as “socialism with Chinese characteristics”, while those that fail quietly disappear. Hong Kong is and has been better positioned than other SEZs. Since the handover, Hong Kong has maintained its status as an independent but related financial center under loose policy regulations. Tsang Chun-wah explained the implementation of the one country, two systems in Hong Kong:

"We in Hong Kong not only have a free and open market, but also an efficient and transparent regulatory system that is consistent with international standards."

Hong Kong is a historic financial hub located between the East and the West. Many Bitcoin and blockchain companies have seen the “good” signs and have chosen to set up their headquarters in Hong Kong – we expect more companies to move to Hong Kong. The world is finally waking up to the fact that Bitcoin can reduce suspicious transactions and transaction fees.

Original article: http://bitcoinist.net/hong-kong-explore-application-blockchain-technology-financial-services-industry/
By Caleb Chen
Compiled by: Kyle
Source (translation): Babbitt Information (http://www.8btc.com/hongkong-blockchain-financial-service)