Hong Kong Landlords Lease Commercial Office Space To Crypto Exchanges

Hongkong Land, a real estate owner in Hong Kong, has leased commercial office space to local cryptocurrency company HashKey Group following cryptocurrency regulation clarifications. Neil ANDERSON, director of Hongkong Land, believes that the decision to lease commercial real estate to cryptocurrency companies was heavily influenced by recent cryptocurrency regulations set by the Securities and Futures Commission (SFC).

Hong Kong regulators require cryptocurrency companies to be locally licensed and only offer their services to professional investors. Christopher HUI, Hong Kong's Secretary for Financial Services and Treasury, supported the recent proposal to ban retail cryptocurrency trading. In his opinion, a regulatory framework that prohibits retail cryptocurrency business will help combat "market manipulation, money laundering and terrorist financing."

The HashKey Group rented an entire floor in the Three Exchange Square building in central Hong Kong, which is partly owned by the Hong Kong government. It should be noted that the demand for commercial space lease from traditional banks is declining. This is primarily due to the COVID-19 pandemic. HashKey will occupy the space previously leased by the Australian and New Zealand Banking Group.

Image: Cryptovibes