Hong Kong and France are speeding up the process of regulating cryptocurrencies, while other countries are also moving steadily to regulate the asset class.
The FTX collapse has put pressure on regulators globally to speed up how they deal with this new asset class. While some countries want to implement stricter regulations, others favor pro-crypto regulations.
Regulators in France call for accelerated licensing for unregistered crypto service providers. At the same time, Hong Kong is committed to becoming a regional crypto hub with a strong regulatory framework.
France promotes the granting of compulsory cryptographic licenses
The president of the Authority for Financial Markets (AMF), Marie-Anne Barbat-Layani, supports a “rapid transition towards stricter supervision of the crypto industry,” according to Bloomberg.
The regulatory body wants to tighten crypto regulation by putting pressure on unregistered crypto service providers to obtain the license on a compulsory basis. The licensing system is currently optional.
Marie-Anne Barbat-Layani believes that licensing offers several more significant and detailed elements for investor protection.
This month, the bill to boost compulsory licensing will be discussed in the lower house of parliament. Meanwhile, the French user claims that some service providers have pending registration requests for more than a year.
Hong Kong pledges to become a regional crypto hub
Paul Chan, Hong Kong’s Financial Secretary, says the country is working to attract business in the cryptocurrency and Fintech sector. According to a Bloomberg article, Hong Kong is committed to becoming a regional crypto hub.
Paul Chan says: “As certain crypto exchanges crashed one after another, Hong Kong became a benchmark of quality for digital asset companies. The city has a strong regulatory framework that matches international norms and standards while prohibiting free riders.”
Hong Kong regulatory authorities are also willing to expand cryptocurrency trading to retail investors, which is currently limited to those with bankable assets of more than $1 million.
Global crypto regulation unit
Countries have prepared to implement crypto regulation with various goals, such as protecting investor capital and keeping up with innovations.
The UK has established a special crypto cell under its National Crime Agency to combat crypto crime. In December last year, the government also announced plans to regulate a “broader range of investment-related crypto asset activities.”
The African country: Nigeria plans to regulate cryptocurrencies to flow with global economic innovation. Nigeria has the third highest crypto transactions in the world, with 56% of its adult population participating in the transactions.
Do you have anything to say about cryptocurrency regulation or anything else? Write to us or join the discussion on our Telegram channel. You can also find us on Tik Tok, Facebook or Twitter.
For the latest from BeInCrypto Bitcoin (BTC) analysis, Click here
BeInCrypto has reached out to the company or person involved in the story for an official statement on recent developments, but has yet to hear back.