Saudi Arabia’s Central Financial institution (SAMA) and the Hong Kong Financial Authority (HKMA) not too long ago held a gathering to debate methods of boosting monetary providers integration and cooperation.
The July 27 assembly aimed to strengthen the partnership between Saudi Arabia and Hong Kong and improve their monetary methods.
The main focus was additionally to agree on tokenization and fee infrastructure.
Saudi Arabia and Hong Kong dialogue
SAMA and HKMA representatives mentioned 4 key focus areas, primarily monetary infrastructure improvement, open market operations, market connectivity, and sustainable improvement.
In addition they explored supervisory applied sciences, akin to synthetic intelligence, machine studying, tokenization, and fee infrastructure.
SAMA and HKMA signed a Memorandum of Understanding (MoU) to collaborate on monetary innovation to facilitate joint deliberations.
The settlement was signed by SAMA’s governor, Mr. Ayman Alsayari, and HKMA’s chief government, Eddie Yue.
Though the announcement covers monetary tendencies, the press release didn’t specify whether or not the collaboration would embody joint initiatives regarding cryptocurrencies akin to Bitcoin (BTC).
Nonetheless, it nonetheless holds weight in crypto. That is contemplating HKMA’s partnership with the UAE central financial institution on Might 30 aimed toward strengthening cooperation on digital asset laws and developments.
Hong Kong an rising crypto hub
As reported by Bloomberg, Hong Kong plans to change into a crypto hub.
In late Might, Christopher Hui, Hong Kong’s treasury chief mentioned retail buyers can interact in crypto buying and selling since digital belongings are right here to remain.
Hong Kong can be actively concerned in a number of cross-border tokenization tasks, together with the profitable launch of a $28 million tokenized safety in mid-June by BOCI, the funding financial institution subsidiary of the Financial institution of China, using Ethereum.
Consequently, discussions of advancing Fintech naturally result in conversations round decentralized finance and digital currencies.
Though Hong Kong is open to supporting crypto-assets, the federal government of Saudi Arabia has made it clear that they don’t want to promote using cryptocurrencies.
Their most up-to-date assertion was issued in 2019, warning that Bitcoin doesn’t maintain official recognition by authorized entities throughout the nation. Consequently, the extent to which these measures will have an effect on the crypto neighborhood stays to be seen.
