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Hong Kong Mulls Accepting Bitcoin Purchases for Investment Immigration

Published 13/11/2023, 09:23
© Reuters Hong Kong Mulls Accepting Bitcoin Purchases for Investment Immigration
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  • Hong Kong considers expanding investment immigration to include Bitcoin purchases on licensed local exchanges.
  • Capital Investment Entrant Scheme revived after an eight-year suspension.
  • Threshold for the immigration program raised to around US$3.84 million.

Hong Kong is considering expanding its investment immigration options to include Bitcoin purchases on licensed local exchanges, according to Hong Kong lawmaker Chiu Ta-kan. The proposal comes as the city revives its Capital Investment Entrant Scheme after an eight-year suspension.

The immigration program, which grants residency rights for major capital investments, will now have a threshold of around U.S. $3.84 million, up from $1.3 million previously. Real estate investments will remain prohibited, but other assets like stocks, bonds, and potentially Bitcoin may qualify.

Lawmaker Chiu Ta-kan stated that buying Bitcoin on sanctioned Hong Kong platforms should be permissible under the broadened policy. This would effectively recognize virtual currencies as financial assets for the scheme. However, the scope of qualifying investments is still being finalized by the authorities.

Hong Kong resumed the immigration program in March to attract more foreign capital and high-net-worth families. Permanent residency can be obtained after seven years under the initiative.

Consulting firm PricewaterhouseCoopers (PwC) has received strong interest from clients about the relaunched scheme. PwC sees room for family offices and believes cooperating on tax incentives could attract even more applicants.

Some Legislative Council members argue Hong Kong should focus efforts on the Middle East and other regions rather than mainland China. By welcoming capital investors again, Hong Kong hopes to revive its reputation as a global financial hub.

Expanding eligible assets to include cryptocurrency—a growing portion of wealth internationally—could help draw young ultra-high-net-worth individuals in particular. With the policy details still unfinalized, the crypto industry will watch closely to see if Bitcoin earns a place in Hong Kong’s residency by investment program.

The post Hong Kong Mulls Accepting Bitcoin Purchases for Investment Immigration appeared first on Coin Edition.

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