HK is 7th most crypto-ready market in the world

The city is home to 251 crypto-based companies.

Hong Kong has ranked seventh in crypto tax software company Recap's crypto readiness index.

The index ranks markets based on eight criteria: the number of crypto workers and companies, crypto meet-ups, capital gains tax rate, R&D spend as a percentage of GDP, number of crypto ATMs, quality of life score, and ownership of crypto in each city.

According to Recap, the city is home to 251 crypto-based companies and has 607 individuals working in crypto-based jobs. Over the past year, the city also had 32 crypto-based events.

Meanwhile, the ownership of crypto in Hong Kong is at 16%.

READ MORE: Cryptocurrency in Hong Kong – Regulated or Not

“Hong Kong has kicked off a contest to become Asia’s crypto capital, as Singapore - ranking fourth on the list - pivots to stricter crypto regulations,” Recap said.

Whilst Hong Kong excels in offering crypto events, Daniel Howitt, co-founder and CEO at Recap, said the city “falls behind when it comes to the number of crypto companies, R&D spend, and the number of crypto ATMs.”

Based on the report, Hong Kong has zero crypto ATMs, whilst its R&D spend as a percentage of GDP was 0.99%.

“More investment in these areas could advance the city’s position as a global crypto-hub, and potentially earn it Asia’s crypto crown,” Howitt said.

“Hong Kong’s work over the last few months to reposition itself as a crypto hub is having an impact, evidenced by its position in the index. As it works to introduce more licensing for a stablecoin, it’ll be interesting to see how businesses react - will more companies leave other cities to take advantage of the benefits for crypto startups?” Howitt added.