China's crypto opening is inevitable, it's just a matter of when
With the Chinese government preventing mainland investors from investing in cryptocurrencies, Brock Pierce, co-founder of Dether (USDT), said it's inevitable that China will open up to investment. Speaking at the Solowin and Sequire Asia Investor Summit in Hong Kong, Brock Pierce, who also serves as the chairman of the Bitcoin Foundation, told local media (the South China Morning Post) that “big things could happen,” according to BitcoinSystems.
The comments come after major cryptocurrency exchanges, most of which are linked to mainland China, withdrew their applications for licenses to operate virtual asset trading platforms in Hong Kong. The regulation states that exchanges licensed in Hong Kong must not offer services to mainland residents. Many in the crypto industry believe that Hong Kong could serve as a gateway to the Chinese market. The topic was a hot topic at this year's Bitcoin Asia conference, but mainland regulators have shown no signs of changing their stance.
Pierce is confident that change is on the horizon. “Will China open up to crypto? I see this as inevitable. The question is not if it will happen, but when,” he emphasized. Pearce was positive about Hong Kong's recent efforts to provide regulatory certainty for investors. He assessed that Hong Kong is moving in the right direction compared to what countries such as Singapore, Japan, and South Korea have introduced.
“I think Hong Kong is ahead of the curve in many ways,” he said. “The main opportunity for Hong Kong is in traditional finance. This means that the Hong Kong Digital Dollar stablecoin has tremendous potential,” he explained. Pierce attributes this to China's supply chain advantages. “If the right systems are in place, there's definitely a huge opportunity,” he said.
He also hinted at a possible return to Hong Kong. “I'm going to go where I think my time is most valuable,” he said. I'm passionate about what's happening in Hong Kong, and that means there's a good chance something will happen right now,” he added. Hong Kong has approved Bitcoin and Ethereum spot ETFs, a much-anticipated move for the crypto market, but it has yet to open up to mainland Chinese investment.
