Hong Kong has announced the establishment of the Task Force on Promoting Web3 Development, chaired by Financial Secretary Paul Chan.

The task force aims to leverage blockchain technology’s low cost and transparency to drive innovation and address challenges across various industries.

Comprising members from government agencies and industry experts, the task force will provide recommendations for the sustainable and responsible development of Web3 in Hong Kong.

Key Points:

  1. Advantages of Blockchain Technology: Financial Secretary Paul Chan highlighted the disintermediation, security, transparency, and cost-efficiency of blockchain technology, emphasizing its potential to solve issues in finance, trade, business operations, and daily life.
  2. Task Force Composition: The task force consists of 11 members from government agencies and 15 advisory members from business and industry sectors. Notably, Yat Siu, co-founder and chairman of Animoca Brands, a prominent Hong Kong-based software and investment giant, is among the advisory members.
  3. Objectives and Scope: The task force’s primary role is to provide recommendations for the sustainable and responsible development of Web3 in Hong Kong. Web3 encompasses a decentralized and permissionless evolution of the internet, incorporating technologies like blockchain, artificial intelligence (AI), and the Internet of Things (IoT).
  4. Recognition of Hong Kong’s Potential: Animoca Brands’ Yat Siu praised the task force’s establishment, positioning Hong Kong as a leading example of an economy embracing Web3, blockchain, virtual assets, and the open metaverse. Hong Kong aims to position itself as a global hub for digital asset trading and the broader Web3 industry.
  5. Financial Support and Collaborative Initiatives: While Financial Secretary Paul Chan has advocated for Web3 in Hong Kong, the allocated budget for the city’s Web3 sector is relatively modest. Additionally, the Institute of Web 3.0 Hong Kong, a non-profit organization led by former chief executive of the Hong Kong Monetary Authority, Norman Chan, aims to foster collaboration within the Web3 industry.
  6. Global Blockchain Experimentation: Countries such as Singapore, South Korea, Japan, and India are actively exploring use cases for blockchain technology. India, despite its cautious approach to cryptocurrencies, is adopting Web3 technologies for various real-world applications, including university-degree registration, real estate tokenization, and police crime reports.