Singapore solidified its position as a leading hub for digital assets in 2024, while Hong Kong faced challenges in its bid to attract crypto businesses. According to a Bloomberg report, Singapore issued 13 crypto licenses to various operators throughout the year. This significant increase, more than double the number issued in 2023, includes licenses granted to major players like OKX and Upbit, as well as global firms such as Anchorage, BitGo, and GSR.
Meanwhile, Hong Kong’s licensing program has progressed at a slower pace. While both cities are vying for digital-asset firms by offering supportive frameworks, tokenization initiatives, and regulatory sandboxes, Singapore appears to have gained an edge.
Angela Ang, a senior policy adviser at TRM Labs, attributed this to Hong Kong’s stricter regulations in areas like customer asset custody and token policies.
Hong Kong’s licensing process has encountered delays, with regulators aiming to approve more exchanges by the end of the year. To date, the city has fully licensed seven platforms, including four with restrictions granted on December 18th, while another seven hold provisional licenses. Notably, major exchanges such as OKX and Bybit have withdrawn their applications for Hong Kong licenses.
Both cities view crypto as a crucial element in their efforts to maintain their status as global business hubs. However, Singapore’s proactive approach to licensing and its more flexible regulatory environment seem to be attracting a greater number of digital-asset firms.
December 2024, Cryptoniteuae
