3 - 6 minute read
The world of cryptocurrency has been seeing some positive developments lately, especially in the East. It was recently reported that China’s version of TikTok, Douyin, is now showing the price of bitcoin in search results. This is a significant move because social media in China is tightly controlled, and it is possible that this may indicate Beijing’s warm-up to crypto while loosening its control over the digital asset ecosystem. Douyin is the most downloaded short video-sharing platform in China, with 700 million daily active users. However, this is not the only good news. Hong Kong is also opening the door to crypto, and China’s state-owned banks are reportedly soliciting business from crypto-firms, even though opening an account with one remains a challenge.
Recently, the Hong Kong Securities and Futures Commission (SFC) Chief Executive Officer, Leung Fung-yee, stated that cryptocurrency platforms are part of the whole Web3.0 ecosystem, and the country is very supportive of the development of the entire Internet ecosystem. He pointed out that these virtual currency platforms must protect the safety of all investors from the perspective of investor protection. He also announced that the country would focus on proper regulation and promoting development, emphasizing investor education and protection and anti-money laundering.
Hong Kong Financial Secretary, Paul Chan, shared the same positive sentiment in a recent blog post, stating that now is the right time for web3 adoption. He added that the country would adopt a strategy that emphasizes proper regulation and promoting development. In terms of supervising financial security and preventing systemic risks, they would also do a good job in investor education and protection and anti-money laundering.
This week, Hong Kong is hosting the HongKong Web3 Festival, which expects more than 10,000 attendees and 300 speakers. With all these developments and the surge in the price of bitcoin breaking through $30,000 for the first time since June 2022, traders are wondering what this means for the future of the crypto market.
#Bitcoin price is now live on Douyin 抖音 （@tiktok_us in China） pic.twitter.com/sgvdn70LQr
— H.E. Justin Sun 孙宇晨 (@justinsuntron) April 10, 2023
Hong Kong and China’s recent opening up to the cryptocurrency market is excellent news for traders. It shows a positive attitude towards the crypto market, and this may attract more investors, leading to an increase in demand and, ultimately, the price of the asset. It is also a sign that the crypto market is buoyant and finding support in international markets. On the other hand, there are still some challenges, such as opening an account with a crypto-firm in China remains a challenge. Investors must remain cautious and do their due diligence before investing in any asset.
The Bottom Line
China’s version of TikTok, Douyin, now shows the price of bitcoin in search results, indicating a warm-up to crypto and loosening its control over the digital asset ecosystem. Hong Kong is also opening its doors to crypto, and China’s state-owned banks are soliciting business from crypto-firms. Hong Kong is adopting a strategy that emphasizes proper regulation and promoting development, investor education and protection, and anti-money laundering. These are positive indicators for the crypto market and may attract more investors to the asset, leading to an increase in demand and, ultimately, the price of the asset. However, there are still some challenges, such as opening an account with a crypto-firm in China remains a challenge. Investors must remain cautious and do their due diligence before investing in any asset.
