Hong Kong’s commitment to fintech and virtual assets is taking center stage as Secretary for Financial Services and the Treasury, Xu Zhengyu, outlined its ambitious plans at the Legislative Council debate on April 30th. The city is currently ranked fourth globally for fintech and will continue to expand its innovative financial services sector through a multi-pronged approach, according to Mr. Xu. In the virtual asset space, Hong Kong is preparing a second policy declaration for virtual assets, outlining future directions. Consultation sessions on over-the-counter (OTC) virtual asset trading and custody service licensing are also planned for this year. The Stablecoin Bill will be subject to a second reading debate in the Legislative Council on May 21st, with the Hong Kong Monetary Authority poised to expedite license approvals upon its passage. These steps aim to foster a balanced regulatory framework that supports both market development and growth in Hong Kong’s virtual asset ecosystem.