Eligibility and Verification Process
Hong Kong has officially recognized Bitcoin (BTC) and Ethereum (ETH) as valid assets for proving net worth under its Capital Investment Entrant Scheme (CIES). To qualify, applicants must meet the following criteria:
- Minimum Net Worth Requirement – Demonstrate total assets worth at least HKD 30 million (approx. $3.8 million).
- Certified Valuation – Cryptocurrency holdings must be audited by a Certified Public Accountant (CPA) to verify their market value.
Conversion to Approved Assets – Within six months of approval, applicants must reinvest their crypto holdings into:
- Listed securities
- Hong Kong real estate
- Local financial instruments
Approved Cases
Two successful applications from mainland China have been processed:
- October 2024: A Bitcoin-based application.
- February 2025: An Ethereum-based application.
👉 Explore how institutional adoption is reshaping crypto markets
Impact on Crypto Markets and Investor Sentiment
Increased Demand for BTC and ETH
Inclusion in Hong Kong’s CIES program could:
- Boost institutional demand from high-net-worth investors.
- Enhance credibility as regulated financial assets.
- Reduce exchange supply, potentially driving long-term price appreciation.
Hong Kong’s Emergence as a Crypto Hub
With over 750 applications under CIES, Hong Kong is solidifying its position as a leading digital finance hub. Key developments include:
- Regulatory clarity for crypto exchanges.
- Growing integration of digital assets into traditional finance.
👉 Why Hong Kong is outpacing Singapore in crypto adoption
Potential Risks and Challenges
While promising, several factors may temper immediate effects:
- Price Volatility: Crypto’s unpredictability may deter risk-averse investors.
- Conversion Mandate: Required reinvestment into traditional assets limits direct price impact.
- Regulatory Uncertainty: Competing hubs like Singapore maintain stricter crypto policies.
Long-Term Outlook for Crypto Adoption
Hong Kong’s policy marks a milestone for Bitcoin and Ethereum, signaling:
- Mainstream financial integration.
- Strong institutional interest.
- Bullish long-term price potential.
FAQ Section
❓ Can other cryptocurrencies be used for the CIES program?
Currently, only Bitcoin and Ethereum are accepted.
❓ How does Hong Kong’s policy compare to Singapore’s?
Hong Kong is more crypto-friendly, while Singapore imposes stricter regulations.
❓ Will this decision directly raise BTC/ETH prices?
Short-term effects may be limited due to conversion rules, but institutional adoption could drive long-term growth.
For deeper insights, read our analysis on global crypto investment trends.