China uses HK to sell seized crypto; Hong Kong plans stablecoins for Belt & Road – Ledger Insights
Two recent developments in cryptocurrency policy reveal how Hong Kong continues to function as China’s financial bridge to the digital asset world, even under the “one country, two systems” framework.
Beijing uses Hong Kong to liquidate seized crypto
The first development involves Beijing’s approach to disposing of confiscated cryptocurrencies. According to a Caixin report following an announcement by Beijing police, mainland authorities are leveraging Hong Kong’s licensed cryptocurrency exchanges to sell seized digital assets.
The process works through intermediaries: Beijing’s law enforcement division instructs the state-owned Beijing Equity Exchange (CBEX) to dispose of the cryptocurrencies, which then…
