Total Ban on Crypto Exchanges Unnecessary: Hong Kong Regulator

[sell100]

Total Ban on Crypto Exchanges Unnecessary: Hong Kong Regulator

The outgoing chairman of Hong Kong’s securities regulator has – unlike China – ruled out a total ban on domestic cryptocurrency exchanges, suggesting formal regulations instead. Hong Kong’s Securities and Futures Commission (SFC) is drawing plans in…

Read more:
https://www.trackcoinmarket.com/en/crypto-news/33567/total-ban-crypto-exchanges-unnecessary-hong-kong-regulator

[virendarnagpal]

I think most of the people having knowledge about crypto currency will be criticizing the  decision of the Government ban on crypto currency.  Presently few governments are taking decision against the crypto. 
May be they feel sorry after few years when they find their countries losing a lot due to this ban.  Future is of crypto currency.  So they will have to lift such bans sooner or later.

[Marcel666]

The blockchain technology is the technology that would disrupt the way we transact and interact with each other.

And governments would do well to embrace it and look for productive ways to integrate it into their system.

Putting a ban on it is going in the opposite direction.

[wxa7115]

The blockchain technology is the technology that would disrupt the way we transact and interact with each other.

And governments would do well to embrace it and look for productive ways to integrate it into their system.

Putting a ban on it is going in the opposite direction.

The governments are going to find ways to integrate the blockchain technology and make good use of it, what they do not like is that cryptocurrencies are running above that technology, what you are not seeing is that cryptocurrencies take power away from governments and any powerful entity has never liked the idea of losing power so they are trying to defend that power and they are trying to figure out the best way to do it.

Some are trying to regulate the market and while that could work in the short term it is not going to work in the long term, so it is my belief that eventually many countries around the world are going to ban cryptocurrencies because they are going to be afraid of losing control of their economies if cryptocurrencies become too powerful.

[zhekinsp]

Total Ban on Crypto Exchanges Unnecessary: Hong Kong Regulator

The outgoing chairman of Hong Kong’s securities regulator has – unlike China – ruled out a total ban on domestic cryptocurrency exchanges, suggesting formal regulations instead. Hong Kong’s Securities and Futures Commission (SFC) is drawing plans in…

Read more:
https://www.trackcoinmarket.com/en/crypto-news/33567/total-ban-crypto-exchanges-unnecessary-hong-kong-regulator

Governments ban the crypto exchanges because they think people were using crypto for money making but they are not payin any taxes so they are removing them to restrict the users so it is not a wonder if any government completely ban the crypto exchanges on thie country.

[olubams]

Total Ban on Crypto Exchanges Unnecessary: Hong Kong Regulator

The outgoing chairman of Hong Kong’s securities regulator has – unlike China – ruled out a total ban on domestic cryptocurrency exchanges, suggesting formal regulations instead. Hong Kong’s Securities and Futures Commission (SFC) is drawing plans in…

Read more:
https://www.trackcoinmarket.com/en/crypto-news/33567/total-ban-crypto-exchanges-unnecessary-hong-kong-regulator

This is exactly what has been said by everybody in the crypto community for those who are not oblivious of the reality we have to face. Any country that goes the way of total ban as a means of is only showing forth the extent of their ignorance rather than the show of strength that they believe they are doing because in the near future they would realise that other countries that they have made their model have been developing behind the scene leaving them to grapple with manual way of doing things.

[pumbum]

I think there is still a way to circumvent these bans, because there were already similar and it did not hurt to speculate to the citizens of these countries

[LeGaulois]

If people start to take a look finally to the decentralized exchanges platforms then the problem wouldn't be it anymore. But a total ban is, yes, unnecessary, if it's all about being able to operate as long there is a KYC regulation from the government + the verification from the exchanges, then the citizens would have no problem to give them out their ID.
The problem comes rather from the political side, which is either it does not know the subject, has the interest to ban. Knowing how many websites are blocked there, it's the China style

[xuan87]

I think it's inevitable for the government to think like that, sometimes the government see crypto as threat and need to regulate before the supervision out from their hand, but I prefer the idea of regulating rather than banning,at least the government still give a chance for crypto to grow

[pooya87]

bitcoin and because of it cryptocurrencies is a growing phenomenon that they can not do anything to prevent it. so if the government wants to keep their control over the market they would have to forget about a total ban of cryptocurrency exchanges and instead think about regulating them in a way that they can keep people on these exchanges and have control over them.
otherwise we have seen total bans leads to migration not prevention. people simply start using other methods of trading, methods that involve decentralization and remove government control altogether.

[Gaaara]

If a certain country is domestically inclined there is no way that the governments will let cryptocurrencies run over their finances because the way cryptocurrencies is moving right now the domestic economy is probably affected. Nevertheless there is some advantages with allowing exchanges its just that for government it is not enough reason for them and the fact that if there is more money to go out of their country than going in it is enough reason to ban it.

[Kakmakr]

This is a question of, "Do you throw out the baby with the bath water or not?" The regulators know Bitcoin exchanges generate taxes and income for the government and they want a piece of that tax pie, so they will not want to throw away the baby, with the bath water.

Regulation will also give them some kind of control, if they need to identify users in the future. <KYC/AML regulations> It is better to have some control, than having zero control over this technology. 

[sehoon]

I actually don't understand why people want to regulate or ban bitcoin in their countries. Even though, there is a lot of potential in these cryptocurrencies.

[coinwizard_]

This is a great choice, hong kong has always been the financial powerhouse of east asia and if they place a ban on crypto they will lose that crown to somewhere else like singapore

[Pursuer]

If people start to take a look finally to the decentralized exchanges platforms then the problem wouldn't be it anymore.

true but the decentralized exchanges work best when you are only concerned about trading cryptocurrency with cryptocurrency. for example when you are trading bitcoin/altcoins. otherwise when fiat is involved the centralized exchanges will always be the best because despite all the time consuming and annoying KYC verification it still is a lot safer than dealing with a random person on the internet with fiat which has a lot of ways to scam you with it.

[revive7up]

Hong Kong is an autonomous region of China, with a distinct financial system that has a great influence on the domestic economy. When the Chinese government issued an ICO ban, the Hong Kong government pushed for Blockchain support, highlighting the importance of the country to the crypto market. And at around that time, the Hong Kong government launched Plan to set up a financial system based on the Blockchain platform, technology can significantly reduce the human input and time spent on financial transactions and also "reduce the risk of fraud" and gradually progress to become Blockchain paradise.

[dothebeats]

Total ban is really unnecessary; instead of fully restricting any crypto exchanges on Hong Kong's soil, why not implement regulations that would fully envelope crypto exchanges' activities and keep track of what's happening with them? That's what happens when a state can't control something: outright banning it without any reason presented to the masses at all. Knowing that HK has been a hub for cryptoexchanges for years now, they'd potentially lose some revenue if the ban goes into effect, and that's not pretty IMO.

[ahmad21]

“We have to carefully consider the regulatory approach for these platforms because they are new technology and may not qualify as securities. They do not fit in the custodian, audit or valuation requirements, for instance, normally expected under the Securities and Futures Ordinance.”

Tong added that the SFC is evaluating the best approach to regulate cryptocurrency platforms “to a standard that is comparable to that of a licensed trading venue, while at the same time ensuring investors interest are being protected.” 
(Source: https://www.newsbtc.com/2018/10/15/hong-kong-to-propose-regulation-for-cryptocurrency-trading/ )

It is seen that the Securities and Futures Commission (SFC) Chairman has got a different point of view for the mainland China's ban of the crypto currency. Obviously he has got the right approach to look at this matter, because when crypto is trending, and so many people are already indulged into it, then how can you expect a total ban would work in such an environment without really effecting the economy of the country.

[gamechangers]

A lot of cryptocurrency exchanges are truly not worth being called exchanges. They are simply scam and eliminating this kind of exchanges won't be a bad idea. It doesn't mean that there are not reputable exchanges. Under a well regulated system, only the reputable exchanges will stand.

[LeGaulois]

If people start to take a look finally to the decentralized exchanges platforms then the problem wouldn't be it anymore.

true but the decentralized exchanges work best when you are only concerned about trading cryptocurrency with cryptocurrency. for example when you are trading bitcoin/altcoins. otherwise when fiat is involved the centralized exchanges will always be the best because despite all the time consuming and annoying KYC verification it still is a lot safer than dealing with a random person on the internet with fiat which has a lot of ways to scam you with it.

I would prefer to not be a victim of a KYC rather than lending my coin to a website type that is regularly hacked
There is Bisq, with crypto/fiat exchange and the person receiving the fiat payment is somewhat protected. You can have an arbitration process. Also, Bisq removes banks well know to dispute a "fraudulent" transfers

 

There is a trade limit per trade, which is generally too small to attract criminals.

2. We will remove national currency payment methods which are found to be used for chargebacks.

3. We introduce with version 0.6.0 a new feature for detecting the age when a payment account has been set up. Recently opened accounts will have lower trade limits. This adds protection against stolen-bank-account-scams.