A recent Hong Kong Blockchain Association (HKBA) survey revealed that 23% of the region's citizens are planning to invest in cryptocurrencies in light of the current recession.
Regulate the cryptocurrency industry
Several survey participants expressed their prediction of a global economic slowdown in the coming year. Many of those who participated in the study believe that an investment in cryptocurrencies could be the answer to the financial problem, despite fears about price volatility on crypto markets.
Investors seek "more investment channels to maintain capital growth" , which should contribute to the success of cryptocurrencies.
Many people have expressed concern about the regulation of crypto-scholarships. 60% of respondents believe that clear and appropriate regulation is needed. Japan and Singapore should be taken as an example by Hong Kong regulators, according to some.
46% of participants believe that an economic crisis is about to burst . It would be due to the trade war between the United States and China. This quarrel could have disastrous repercussions on the global stock market.
The growth of the Bitcoin price during 2017 would be one of the main reasons why Hong Kong residents are thinking about investing in the industry, according to CryptoCompare . While the price of the BTC was estimated at around $ 1,000 in early 2017, it reached the $ 20,000 mark in December. It has had a downward trend this year, falling below $ 6,000. Bitcoin is around $ 7,415, up 0.48% over a 24-hour period at the time of writing this report based on Coinmarketcap data.
Hong Kong Blockchain Association also highlighted the interest of Generation Y for virtual currencies at the expense of real estate . A study started in the United Kingdom revealed that 21% of young people believe that cryptocurrencies are a preferable choice in terms of investment, because real estate is a "high risk" sector.
Get Living, the company that conducted the survey said:"For Generation Y, Bitcoin's soaring performance - followed by a near-deep correction - is more intriguing than the prospect of steady growth in real estate prices. "
Hong Kong and emerging technologies
The Hong Kong government views Blockchain technology as a priority. Initial Coin Offering (ICO) is defined as an "effective fundraising" . However, they face some resistance from the locals because of scams and theft in the industry.In parallel, HKMA, the regional currency board and the Hong Kong central bank will launch a trading platform based on the Blockchain in September 2018. This project is supported by HSBC, Bank of China, ANZ, DBS Bank, Bank of East asia, and Hang Seng Bank. Howard Lee, the deputy general manager of HKMA says it is the largest multi-bank Blockchain project of its kind in Hong Kong.
What do you think of investing in cryptocurrencies in response to the possible financial crisis? Tell us in the comments below.
Posted from my blog with SteemPress : https://infos.link/hong-kong-1-in-4-citizens-plan-to-invest-in-cryptocurrencies-in-response-to-the-crisis/