HK comments leave doors open to cryptocurrency use as evidence of wealth
By Zhen in the summer
HONG KONG (Reuters) – The Hong Kong government has responded for the first time about the use of cryptocurrency as proof of wealth in immigration programs after publicly discussing two cases of local accountants accepting digital assets.
Clement Siu, a certified Hong Kong-based public accountant, told the media he has dealt with two cases in which Bitcoin and ether were used as proof of the client’s assets.
Cryptocurriences are not assets approved for direct investment under the immigration scheme, but in the case of SIU it suggests that it can be used as evidence of immigrant wealth, highlighting the growing recognition as a mainstream asset.
InvestHK, Hong Kong’s investment promotion arm, has processed applications for the new Capital Investment Participation Scheme (New CIES) and when asked whether cryptocurrencies are acceptable assets, “there are no specific requirements.” I’ve said that.
Hong Kong resumed its investment immigration scheme in March 2024 to attract capital. Applicants must show that they are managing assets worth at least $30 million ($3.9 million) and invest it in the approved assets to obtain a residency.
“InvestHK has never said whether crypto assets are acceptable, but they encouraged us to give it a try, so we just tried Reuters.
Investhk did not comment specifically on the case where SIU was highlighted, nor did it say how many immigration applications were accepted as proof of wealth using cryptocurrencies.
Hong Kong has become a global hub for virtual assets, competing with regional rivals such as Singapore and Dubai.
“Accepting virtual assets as proof of assets indicates that virtual assets have the same status as traditional assets in Hong Kong. This is an important step in promoting mainstreaming of virtual assets.”
Hong Kong’s investment immigration scheme is not open to mainland China, but analysts say that if you acquire permanent residency in a third country, you can get around this restriction. It could raise concerns about a potential avoidance of China’s capital management.
SIU said one of his clients who used ether as evidence of wealth was China’s national retention Guinea Bissaur Residency.
Hong Kong government data in June showed that nearly 80% of the 250 new CIE applicants came from Guinea-Bissau or Vanuatu.