Hong Kong Report: Now is The “Right Time” for Web3 Adoption

Hong Kong Report: Now is The "Right Time" for Web3 Adoption

Hong Kong embraces Web3 development with numerous events, strategic regulation, and support for innovation in the digital economy.

Hong Kong is currently abuzz with numerous events centered around Web3, digital economy, and fintech, signifying the region’s dedication to fostering high-quality growth. According to a blog post by Paul Chan, this week alone, the city is hosting at least four major conferences and carnivals focused on these subjects, with some expected to draw more than 10,000 attendees.

Among these notable events, the 2023 Digital Economic Summit stands out, spanning two days and featuring the theme “Transforming the Frontline: Building a Smart Future.” The special district government and the digital port collaborate to host this summit, encompassing a wide array of sectors such as genetics, Web3, finance, professional services, environmental protection, commerce, industry, and academia. By analyzing global and regional development prospects and dissecting future trends like smart cities, data innovation, fintech, artificial intelligence, big data, Web3, smart travel, and new industrialization, the event aims to provide valuable insights into the direction of the digital economy.

In addition, Hong Kong welcomes an inaugural Web3-themed carnival organized by industry professionals. This event highlights the immense interest and support for the Web3 vision and development strategy proposed by Hong Kong. Key topics include Web3 and blockchain technology advancements, popular Web3 applications, and global regulatory environments. The event also establishes a platform for networking and collaboration at the forefront of global Web3 development.

Hong Kong’s Resolve to Advance Web3 Development Amid Challenges

Despite recent fluctuations in virtual asset values and the closure of several virtual asset exchanges, Hong Kong remains unwavering in its commitment to nurturing Web3 development. The region believes that the present moment is the optimal time to promote Web3 growth, drawing parallels with the early 2000s when the internet bubble expanded and subsequently burst. After the hype wanes, the remaining robust participants are expected to focus on technological innovation, practical applications, and value creation, ultimately contributing to the real economy’s quality.

Hong Kong envisions a similar trajectory for Web3. Going forward, participants need to delve deeper into blockchain technology, enabling transparency, efficiency, safety, decentralization, and low-cost features to find a broader range of application scenarios. Addressing existing business model pain points, breaking monopolies, and enabling users to share data’s economic value more widely will bring about significant progress in the real economy.

To ensure the steady growth of Web3 innovation and development, Hong Kong adopts a dual strategy of “proper regulation” and “promoting development.” With proper supervision, the region aims to guarantee financial security, prevent system risks, educate and protect investors, and combat money laundering. Adhering to the principle of “same activities, same risks, same supervision,” Hong Kong plans to introduce a virtual asset service provider licensing system in June and is studying the regulation of “stablecoins” to ensure the sustainable and responsible development of the virtual asset industry.

Furthermore, the region has allocated 50 million yuan to the digital port in its new budget to accelerate Hong Kong’s Web3 ecosystem development. This funding will support large international seminars for industry and enterprises to better understand cutting-edge developments and promote cross-border business cooperation. It will also fund more youth workshops.


About Dren Hima

Being exposed to the crypto industry for the last few years has given me valuable experience with market analyses (technical and fundamental) as well as blockchain technology in general. As the content editor and a market analyst of Walletor, I strive to share the latest developments of the crypto industry, while also providing a unique educational experience for all Crypto & FinTech enthusiasts.