Hong Kong Approves First Crypto-Based Investment Immigration Application

• Hong Kong accepts Ethereum for investment immigration, signaling a shift in digital asset recognition for residency.
• Applicants must store crypto in cold wallets or regulated exchanges to ensure legitimacy in the immigration process.
• Japan enforces strict crypto regulations, pushing Apple to delist unregistered exchanges while Google remains unresponsive.

Hong Kong has approved its first investment immigration application using cryptocurrency as asset proof. A client submitted Ethereum worth HK$30 million as proof of assets and secured approval from the Hong Kong Investment Promotion Agency. 

This approval is a milestone in the city’s evolving stance on digital assets. In October 2024, another applicant successfully used Bitcoin for the same process. The majority of these applicants are from mainland China.

Cryptocurrency as Proof of Wealth in Immigration Applications

To qualify for Hong Kong’s investment immigration program, applicants must prove they hold HK$30 million in assets. They must then invest this amount within six months, traditionally in stocks. However, it remains uncertain whether direct investments in crypto or crypto ETFs meet the criteria. Initially, approved applicants receive a two-year visa. They must maintain their investment assets to secure renewal under a 2-2-3 model before obtaining permanent residency.

Besides, Singapore has long allowed cryptocurrency as proof of assets. However, applicants struggle to verify their initial investment sources in crypto. This requirement complicates the process for digital asset holders.

Hong Kong’s Regulatory Approach and Future Considerations

The Hong Kong Investment Promotion Agency admitted that it had never handled a crypto-based application before. The approval process involved a month-long internal discussion before granting approval. Currently, two more applicants are undergoing the same process using crypto assets.

For security reasons, authorities require applicants to store their crypto in cold wallets or regulated exchanges like Binance. This requirement reduces the risk of fraud and ensures asset legitimacy.

Japan’s Strict Crypto Regulations and App Store Crackdown

Meanwhile, Japan is tightening its grip on unregistered cryptocurrency exchanges. Authorities instructed Apple and Google to remove five crypto exchange apps, including Bybit, KuCoin, and Bitget, from their stores. The Financial Services Agency (FSA) mandates that exchanges must register before serving Japanese users. However, Bybit and others continued operating without proper authorization.

Apple swiftly complied, delisting the applications. However, Google has yet to respond to the request. This move highlights Japan’s strict regulatory approach to protecting investors and maintaining market stability.