Kaiko CEO believes US’s enforced regulation will push crypto sector toward Hong Kong
Ambre Soubiran explained that crypto companies may explore other jurisdictions to shift their crypto business amid increasing regulatory pressure in the United States.
Crypto 2022 was one of the bad years for this innovative sector, where we saw the downfall of multiple crypto companies like Celsius, Voyager Digital, BlockFi, Genesis Global Trading, FTX crypto exchange, and Alameda Research. After the bankruptcy of FTX in Nov 2022, the US regulatory bodies showed significant strict action against the crypto companies.
On 1 April 2023, Ambre Soubiran, the CEO of Paris-based institutional crypto market data provider Kaiko, appeared in an interview with Wall Street Journal (WSJ).
Ambre said that recent enforcement action on the crypto companies in America will surely push the crypto companies to shift their operations in crypto-friendly jurisdictions.
Kaiko CEO named Hong Kong as the best jurisdiction for such crypto companies.
“The U.S. being more stringent these days than ever on crypto and Hong Kong regulating more favorably…is going to shift the center of gravity of crypto assets trading and investments more towards Hong Kong,” Kaiki CEO said.
Further Kaiko CEO added that crypto companies will expand their services there, where they will have clients. Indirectly she noted that such enforcement actions will also degrade the interest of people from the crypto sector.
Many crypto entrepreneurs said that such strict actions taken by the US government agencies against the crypto sector will result in a bad outcome in employment.
Recently US-based Nasdaq-listed crypto exchange Coinbase reported that the current situation of this sector in the US is a very big risk for 1 million tech jobs.
The Coinbase team noted that many non-US jurisdictions are working on creating a friendly environment for the crypto sector, which is not the same case in the US.
Read also: Tron (TRX) founder wants to purchase stolen Bitcoin from the US govt
