oront of the 2021 bull run. Data from Kaiko shows that Asian exchanges have taken in an estimated $4.2 billion in inflows since late February, accounting for nearly two-thirds of the total capital that has moved into the crypto market in 2021.

New Proposal to Allow Largest Cap Virtual Assets

The SFC’s new proposal would allow trading in “largest cap virtual assets” included in at least two approved indices. The commission said that it would require firms to have “robust risk management and compliance procedures” in place in order to trade these assets. In addition, the SFC also said that it would also require firms to maintain a minimum amount of capital and insurance.

Headline: Hong Kong Opens Door for Crypto Trading With New Proposal

• Hong Kong’s Securities and Futures Commission (SFC) has taken a new approach to the crypto industry which could bring capital to the market.
• Data from Kaiko suggests that Asian exchanges have benefited most from the 2021 bull run.
• The SFC’s proposal allows trading in “largest cap virtual assets” included in at least two approved indices.

Hong Kong Takes a Crypto-Friendly Approach

Hong Kong’s Securities and Futures Commission (SFC) is taking a new approach to the crypto industry with an eye towards regulating it and bringing more capital into the ecosystem. On Monday, Hong Kong made clear its intentions to open the door to crypto trading in the Asian region with this new stance appearing much different than enforcement actions taken by the U.S. Securities and Exchange Commission (SEC).

Asian Exchanges Benefit Most From Bull Run

Digital asset market data provider Kaiko weighed in on the matter, suggesting that Asia appears to be positioning itself at the forefront of the next digital asset revolution by welcoming crypto business. According to Kaiko’s research, monthly trading volume since 2020 shows that Asian exchanges have benefited most from 2021’s bull run – despite China outlawing digital assets at year-end 2021.

SFC Proposal for Eligible Crypto Assets

The SFC’s proposal will allow trading in “largest cap virtual assets” included in at least two approved indices. This influx of new capital into Hong Kong and Asia could mean economic growth for both regions as well as Asian exchanges; with perpetual futures markets reacting positively to this announcement – anticipating renewed flows from Asia toward listed tokens like Bitcoin Cash, Litecoin, and Polkadot.

Impact on Global Markets

The impact of relaxing regulations on cryptocurrency trading within these markets should not be underestimated either; allowing global investors access to previously closed off markets – potentially driving prices up across all digital assets while also providing significant liquidity benefits too.

Conclusion

In conclusion, this move by SFC stands to benefit both individuals in Hong Kong and Asia looking for regulated investment options as well as global investors seeking access to previously inaccessible markets – potentially driving prices up across all digital assets while also providing significant liquidity benefits too.