Now the ex-head of the Hong Kong Exchange will take up the development of the crypto-oriented firm Hong Kong Digital Asset EX
Former Hong Kong Stock Exchange chief executive Lin Shi has joined cryptocurrency-focused Hong Kong Digital Asset EX, Bloomberg writes, citing a ruling within the company.
Prior to joining Hong Kong Digital Asset EX, Shi oversaw the IPO review department at the Hong Kong Stock Exchange.
In his new role, Shi will oversee research and development, including token securitization and other digital asset trading products.
Business on the bones
Speaking to Bloomberg, Shih said Hong Kong Digital Asset EX has already applied for a license to provide virtual asset trading services to the Securities and Futures Commission.
Shi believes that a potential source of interest in securitized tokens is Chinese companies leaving the US amid growing tensions between China and the US.
China has long set its sights on a course of total digitalization. So, since the beginning of 2020, China has continued to increase the pace of reducing dependence on the US dollar, fearing high inflation.
The US Federal Reserve added more fuel to the fire. Earlier, the American regulator announced an update of the economic strategy, according to which the Fed will allow inflation to exceed the target.
However, the course towards digitalization does not mean the legalization of the cryptocurrency market.
The BeInCrypto editors previously reported that they decided to deprive Chinese miners of access to cheap electricity by providing subsidized prices.
It is assumed that the decision to cut off access to subsidized prices is due to the lack of benefits for local authorities.
In the domestic market, the situation with the cryptocurrency market remains even more ambiguous.
Although the State Duma approved the law “On Digital Financial Assets” (DFA), the regulatory framework itself was never spelled out.
Nevertheless, the general course towards a total ban on cryptocurrencies is already being traced, taking into account the recent amendments to the CFA, proposed by the Ministry of Finance of the Russian Federation.
According to the edits of the Ministry of Finance, cryptocurrency miners will not be able to make a profit in digital assets.