China’s crypto stance unchanged by moves in Hong Kong, says exec

cointelegraph.com:

Despite Hong Kong steadily progressing with cryptocurrency adoption, mainland China has not changed its anti-crypto stance in terms of local regulations.

Some Chinese state-affiliated banks have increasingly opened bank accounts to serve crypto clients in Hong Kong. CPIC Investment Management — a China government-backed firm regulated as a Hong Kong entity — even launched two cryptocurrency funds in April.

All these developments don’t mean that China has softened or will soften its approach to regulating Bitcoin (BTC) anytime soon, according to CPIC Investment Management CEO Chenggang Zhou.

“The Hong Kong government tries very hard to promote Web3 and crypto, but it doesn’t imply any changes in mainland regulatory regulations or the Chinese government’s attitude toward crypto,” Zhou said in an interview with Cointelegraph on May 5.

Zhou emphasized that despite China government’s backing, CPIC Investment Management operates as a Hong Kong entity regulated by the Securities and Futures Commission.

“Hong Kong regulations allow us to invest in different markets or asset classes or products like cryptocurrencies, so we’re not breaching any regulations or laws,” the CEO said. He added:

China has maintained its anti-crypto stance for a long time, even before banning crypto entirely in September 2021, Zhou noted. He said that he doesn’t expect the local government to change its crypto policies in the foreseeable future.

The CEO isn’t alone in thinking that China remains and will remain anti-crypto while trying to beef up Chinese bank deposits with crypto accounts.

“Given that the Chinese government is coming down hard on the financial sector, it is hard to imagine that China is loosening its control over the ability for Chinese