Article: New anti-money-laundering regulations should exclude Hong Kong’s bitcoin ATMs to sustain innovation, says industry body

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Hong Kong's proposed anti-money-laundering regulations would license cryptocurrency exchanges and forbid them from servicing retail investors. An industry body argues that the city's bitcoin ATMs should be excluded from these new rules to sustain innovation, as they could become one of the last avenues for retail investing.

The stricter oversight creates uncertainties for crypto start-ups and blockchain investments. If the appeal to exclude ATMs is not heeded, those machines could also eventually be placed off limits to retail traders.

The main topics covered are Hong Kong's proposed cryptocurrency regulations, their potential impact on retail investors and bitcoin ATMs, and industry concerns regarding innovation and start-up uncertainty.

Original URL

https://www.scmp.com/business/banking-finance/article/3115239/new-anti-money-laundering-regulations-must-exclude-hong?utm_source=rss_feed

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Innovation - South China Morning Post

Published Date

2020-12-24 06:01

Fetched Date

2026-03-04 14:33

Processed Date

2026-03-04 15:07

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New anti-money-laundering regulations should exclude Hong Kong’s bitcoin ATMs to sustain innovation, says industry body
- The government’s proposal to regulate cryptocurrency exchanges could leave ATMs as one of the last remaining avenues for retail investing
- Stricter oversight of bitcoin has created uncertainties for start-ups and their blockchain-related investments, says Leo Weese, co-founder of the Bitcoin Association of Hong Kong
As Hong Kong’s financial regulators tighten their scrutiny of cryptocurrencies, the machines that dispense bitcoin and other digital tokens may soon be among the last remaining avenues for individual retail traders.
A broader set of rules currently being considered would subject the city’s virtual currency exchange platforms to licensing requirements by the Securities and Futures Commission, and forbid them from servicing retail investors.
But the bitcoin automatic teller machines (ATMs) could also eventually find themselves off limits if an appeal from the cryptocurrency community for the government to exclude them from the extended regulations designed to tackle money laundering goes unheeded.
The price of bitcoin has soared to historic highs, hitting US$24,000 on Wednesday after tripling this year.