According to CEO Jirayut Srupsrisopa, one of the largest cryptocurrency exchanges in Thailand, Bitkub Capital Group, aims to list in Hong Kong when it goes public as early as 2024, the South China Morning Post (SCMP) reported on November 22.
The Asian financial hub’s strong legal system, excellent stock market liquidity, and strategic location were all important factors in the CEO’s choice to select Hong Kong over New York.
He said that he thinks their strength is in the southeast Asian region an interview given last week at the Asia-Pacific Economic Cooperation (APEC) summit. Therefore, access to the domestic market is preferred.
Srupsrisopa, citing the FTX collapse, argues that although a few centralized companies may have handled customers’ funds improperly, this does not necessarily imply that digital currency is bad. He claims that compared to the alternatives, it is actually a much better product and that consumers will always go with their gut instinct.
He said:
“Hong Kong has always been a leader in the financial space. But to keep the momentum going and to stay the leader, you guys should have freer and more open regulations and be more receptive to embracing new technologies.”
Additionally, Srupsrisopa stated that Bitkub’s current priority would not be to go public; instead, they will use this time to consolidate their production while also cutting back on unnecessary expenditures.
While underlining that they are still in the early stages of exploration, Srupsrisopa stated that they are hoping to go public in 2024 once everything has returned to normal.
Furthermore, he explained that Hong Kong has more liquid markets than Singapore, often regarded as its key rival, and it is easier to convert assets into cash here. There are nearly forty listings for stocks on the Hong Kong Stock Market from Thai companies.
Hong Kong Ranks Top For Crypto Adoption
As public approval continues to fuel crypto’s growth, government regulations are needed to pave the way for mainstream adoption. Elements including the installation of cryptocurrency ATMs, pro-crypto policies, startup culture, and a just tax system indicate a nation’s willingness to accept digital currencies.
With a crypto-readiness score of 8.6, Hong Kong was the nation most positioned for broad cryptocurrency adoption in a Forex Suggest research.
The country has about 150 crypto ATMs for its population of 7.4 million people, with an average of 2 cryptos per 100 thousand people, by which it ranked number 3rd.
The country is the capital of Asia for cryptocurrency ATMs, but recent regulations by the HKMA mean it may soon lose its title to other areas in Asia, such as Tokyo.
They are taking the top spot for the smallest area per cryptocurrency ATM in Hong Kong. Users are not more than 7 kilometers away from an ATM in this city-state, which also happens to be one of the most densely populated countries in the world.
Moreover, crypto taxation is the most significant barrier to the widespread use of digital currencies. The countries with the lowest capital gains taxes on cryptocurrencies include Germany, Malaysia, Hong Kong, Switzerland, Panama, Portugal, and Turkey.
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