From Beijing’s perspective, cryptocurrencies empower non-state actors in the financial system in a way that that they believe aggravates systemic financial risk. The reference it makes to digital assets is in the form of virtual tokens used in video games. China has achieved an impressive level of financial inclusion in a short period of time using government-approved digital financial technology. Finally, under the one country, two systems model of governance, Hong Kong’s financial system is very different from the mainland’s. It is much more aligned with the broader global financial system.

Source: Forbes January 14, 2024 18:35 UTC