- The U.S SEC has been advocating for cryptocurrencies to be treated as a security.
- Honorable Madam Justice Linda Chan gave out the ruling.
Governments all across the globe have struggled to grasp the actual nature of cryptocurrencies. Despite its label as a commodity by some. The U.S SEC has been advocating for it to be treated as a security.
A Hong Kong court has ruled that cryptocurrencies are property in a case involving the defunct cryptocurrency exchange Gatecoin. Hogan Lovells, a legal firm, revealed the specifics in a recent blog post.
The judge ruled that Bitcoin and other cryptocurrencies may be kept in trust like other assets. Honorable Madam Justice Linda Chan gave out the ruling, mentioning crypto has all the attributes of a property.
Hong Kong Striving Hard
Cryptocurrencies are treated as property under similar regulations in Mainland China. To be consistent with the position adopted by other common law countries, whose courts have previously decided on this topic. Hong Kong has recently recognized cryptocurrencies as a kind of “property” that is equal to other intangible assets, such as stocks and shares.
With the goal of becoming a cryptocurrency center, Hong Kong has been taking steps in the right direction with regard to the acceptance of cryptocurrencies. The differences from the United States were striking.
At the same time that Gary Gensler is clamping down on the sector, Hong Kong authorities dressed up and hit the stage at the Web3 Festival to express their support for cryptocurrencies and the digital asset industry as a whole.
Following Singapore’s lead, Hong Kong is betting on the nascent cryptocurrency industry to help revitalize its sagging economy as western countries grow more hostile against crypto.