The digital currency trading platform “Gate.io” is preparing to open a branch in Hong Kong!

After announcing the Hong Kong government’s intention to inject HK$50 million ($6.4 million) into Web3 projects as part of the city’s 2023-2024 fiscal year budget, cryptocurrency exchange Gate.io is preparing to build a presence and branch in Hong Kong.

On February 22, Gate Group announced that it will apply for a cryptocurrency license in Hong Kong, which will enable it to create Gate HK.

Hippo Financial Services, the company’s domestic subsidiary, obtained a license in August 2022 to allow it to provide custody services for virtual assets.

In the budget speech on February 22, Paul Chan, Hong Kong’s finance minister, pledged funding related to Web 3 as well as setting up a cryptocurrency task force.

He went on to say that Web 3 has great potential, and that the SAR is bound to keep pace with its continued growth, adding:

It is imperative that we stay current and make the most of this invaluable opportunity to drive innovation forward.

Chan said the money will be used to accelerate the growth of the Web 3 ecosystem by organizing youth workshops, holding international seminars, and promoting business cooperation.

Due to the government’s legislation on cryptocurrency, he said, a large number of companies are considering opening a branch in the city.

In October 2022, Hong Kong launched crypto-friendly policy frameworks in an effort to conduct business within the city.

This was the first step in the city’s quest to establish itself as a global hub for the cryptocurrency industry.

The city’s unique situation enables it to have its own laws and government, despite the fact that it is located within a territory that is part of China, the latter of which has previously banned cryptocurrency and dealing in it.

However, there are reports that the authorities in Beijing are secretly supporting the region’s aspirations for cryptocurrency.