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Source: South China Morning Post; Translated by: Wuzhu, Bitchain Vision
An industry veteran said that as technology competition between the two countries continues to escalate, U.S. President-elect Donald Trump promised support for the cryptocurrency industry could provide new impetus for mainland China to revitalize its digital asset market.
“If the U.S. Congress and the (forthcoming) presidents clarify cryptocurrency policies, continue to legislate and promote the industry, it will certainly become China’s acceptance (cryptocurrency)) The driving force.”
Xiao Feng said action taken by Washington and its Western allies in 2022 to cut off Russia’s ties with the Swift financial information system, part of a package of sanctions to force Moscow to abandon its invasion of Ukraine, may also help convince Beijing to support it.Cryptocurrency industry.
“From now on, it may take five or six years for China to accept [cryptocurrency business],” he said. “But now, due to these factors, this time frame may be shortened to two years.”
Xiao Feng, Chairman and CEO of HashKey Group.
Xiao Feng’s remarks reflect the renewed enthusiasm of the cryptocurrency industry after Trump’s election, who vowed during his campaign to put the United States at the center of the digital asset industry, including the creation of a “national strategic bitcoin reserve” and cancellationIt is considered an anti-cryptocurrency regulator.
Bitcoin surged above $81,000 on Monday, a record high, and has risen nearly 85% since the beginning of the year.
Nevertheless, the Chinese government has so far not shown a possible easing of the ban on digital assets.However, Beijing has allowed Hong Kong to continue to develop its digital asset industry.
Xiao Feng said that if China wants to resume development of the digital asset market, the country can start with a payment and clearing system based on a regulated stablecoin.A stablecoin is a fixed-price cryptocurrency with a market value pegged to certain fiat currencies such as the US dollar or the euro.
“Stablecoins are currently the best solution for cross-border business-to-consumer trade,” he said, one of the reasons is short transaction times and low fees.
Xiao Feng said HashKey’s team recently conducted a survey in Yiwu, a mainland manufacturing and trading center, and found that almost all merchants received inquiries from buyers asking if they could use popular dollar stablecoins such as USDT and USDC.Pay.
Xiao Feng’s insights are based on his experience in banking and finance before entering digital assets: he has served in senior positions in the Shenzhen Branch of the People’s Bank of China and the Shenzhen Regulatory Bureau of the China Securities Regulatory Commission.In 1998, he founded Bose Asset Management, one of China’s largest fund companies, and was involved in the traditional securities industry.
He joined Wanxiang Group in 2011 and then established HashKey, the group’s digital asset division, in Hong Kong in 2018.HashKey operates HashKey Exchange, one of the city’s three licensed cryptocurrency exchanges, as well as other cryptocurrency and blockchain businesses.
Xiao Feng said the company’s business covers venture capital, tokenization and blockchain infrastructure solutions, and is expected to launch its own blockchain, HashKey Chain next month.
HashKey has been expanding its business in other markets in Asia and around the world.The company currently has about 300 employees at its headquarters in Hong Kong, 50 employees in Singapore and 11 employees in Tokyo.Xiao Feng said the company also has teams in Dubai, Bermuda and Europe.
Xiao Feng said that despite many cryptocurrency companies relocating to other jurisdictions such as Dubai and Singapore, HashKey remains committed to Hong Kong.“Only when Mainland China is open, we can serve Mainland China,” he said.“We firmly believe that that day will come.”
