Two of the most prominent cities in the Asian region, Hong Kong and Singapore, have seen their cryptocurrency markets develop over the recent years. Consequently, many international cryptocurrency companies, such as Amber Group, are attracted to the atmosphere and setting of these cities. For Amber Group, keeping an office active in both localities is important and is an enticing prospect to apply for the Virtual Asset Trading Platform license in Hong Kong.

Although these two destinations have seen numerous companies set up their operations, the regulatory environments are vastly different. Singapore favours more of a relaxed attitude, while Hong Kong has an SFC-regulated approach. Singapore has gone as far as to instantly ban the public marketing of any crypto-based services, while Hong Kong has developed the necessary framework to register its exchanges as digital asset trading platforms.

Retail investors in Singapore also have to be aware of some of the restrictions from the Monetary Authority of Singapore. A proposed set of new laws includes restrictions on borrowing to buy cryptocurrency, and companies will be forbidden to allow its own coins to stake or lend for yield purposes. Despite these strict laws, the interest in crypto remains high in the country.

In contrast to Singapore, Hong Kong's newfound VATP license requires that digital currency services have to have certain protective measures in place, such as risk assessment for customers. Regulations for the Virtual Asset Trading Platform are such that it allows professional investors to only use SFC-licensed exchanges.

That being said, there are other countries in Asia that have not attracted the same type of attention, but still boast a lively crypto scene. Japan's DeCurret, recently acquired by Amber Group, has experienced numerous developments - but it has been made known that Amber Group's priority has shifted away from retail services.

Japan, and the Financial Services Agency, has typically been known to be much stricter in its approach to cryptocurrencies - enacting consumer protection rules, and ensuring that users funds are safe and secure. One example was FTX Japan, who remained functional and funds remained safe, whereas this was not the case for users in other countries. Indeed, the Japanese approach proves to be effective in the industry.



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