Hong Kong's new cryptocurrency regulations will officially take effect on June 1, implementing a licensing system for virtual asset service providers. This move legalizes crypto exchanges and provides clear regulatory guidance for virtual asset trading.
As licenses begin rolling out for crypto exchanges, we're seeing accelerated progress with offshore cryptocurrencies and gradual support for Web3 infrastructure. The Hong Kong market is poised for sustained growth.
From an investment perspective, what opportunities does Hong Kong's new crypto regulation present? After extensive research, veDAO has identified these 6 cryptocurrency projects with strong long-term potential:
1. NEO (NEO) - China's Original Blockchain Protocol
Founded in 2014 (originally as Antshares), NEO is a Layer 1 blockchain often called "China's Ethereum." As China's first original blockchain protocol, it enjoys government support and has made smart contract technology a national strategic priority.
Key advantages:
- Strong compliance focus for China's regulated business environment
- Developer-friendly platform competing with Ethereum
- Low-profile but consistent long-term development
👉 Discover NEO's price potential
2. VeChain (VET) - Supply Chain Optimization Leader
This Layer 1 blockchain specializes in supply chain solutions with major Chinese partnerships including China Tobacco and Haier. Recognized as a "National High-Tech Enterprise" by Chinese internet authorities.
Notable features:
- Real-world enterprise solutions
- Government collaboration on carbon credit platforms
- Active in major exchanges like Crypto.com and KuCoin
3. Conflux (CFX) - China's Only Compliant Public Blockchain
This permissionless Layer 1 network spans global markets while maintaining strong Chinese ties. Recognized by Shanghai government as an "Innovative Blockchain Platform."
Recent developments:
- Partnership with China Telecom for blockchain SIM cards
- Ecosystem includes Sushiswap, Chainlink, and Binance
- Unique tree-graph consensus technology
4. Huobi (HT) - Exchange Returning to Chinese Roots
Now operated by Justin Sun, this major exchange is relocating HQ to Hong Kong, positioning itself for China's digital asset market.
Key facts:
- Early adopter of margin trading in China
- Launching "Huobi Hong Kong" service
- Strong partnerships with JD.com and CITIC Group
👉 Explore Huobi's market position
5. Filecoin (FIL) - Distributed Storage Pioneer
The leading blockchain storage network built on IPFS technology. Early mover in decentralized storage with significant Chinese investment.
Recent highlights:
- Major storage provider adoption
- Hong Kong company purchased $639k in FIL
- Strong developer community
6. Alchemy Pay (ACH) - Crypto Payment Infrastructure
Asia's premier crypto-fiat payment solution supporting over 1 million merchants. Launching next-gen decentralized payment system.
Hong Kong presence:
- First crypto payment provider entering HK market
- Major advertising campaign at HK International Airport
- Google Pay integration
FAQ
Q: Why are these projects particularly relevant now?
A: Hong Kong's new regulations signal China's softening stance on crypto, creating favorable conditions for compliant projects.
Q: What makes these projects different from others?
A: They combine government connections, real-world utility, and strong Chinese market positions.
Q: How can investors access these tokens?
A: Most are available on major exchanges like Binance, OKX, and Gate.io.
Conclusion
Hong Kong's policy shift reflects China's evolving approach to crypto regulation. The 6 projects highlighted—NEO, VeChain, Conflux, Huobi, Filecoin, and Alchemy Pay—represent promising opportunities with established Chinese partnerships and government recognition.
As China's crypto ecosystem develops, these projects are well-positioned to leverage the massive Chinese market while contributing to global digital currency adoption. Their long-term growth potential makes them particularly noteworthy for investors.