The Government today (October 31) issues a policy statement on the development of Virtual Assets (VA) in Hong Kong. The statement sets out the Government's policy stance and approach towards developing a vibrant sector and ecosystem for VA in Hong Kong. The following topics are covered in the statement:

Since the start of the year, the cryptocurrency market has lost almost $1 trillion in market cap due to the downward pressure imposed on it, culminating in a run of bankruptcies involving crypto hedge funds and lenders, including Celsius Network, Voyager Digital, and Three Arrows Capital, and the scaling back of operations at firms like Blockchain.com and Coinbase.

According to Bloomberg, a Musk “super app” expanding Twitter into messaging, games, payments and more may be in the cards, and digital assets may play a part in that. NFTs may also enter the picture, though Musk has shunned them in the past.