Hong Kong’s move to exempt crypto gains from taxes targets hedge funds and family offices in a bid to boost its competitiveness.
Hong Kong has proposed exempting cryptocurrency gains from taxes for hedge funds, private equity and family investment vehicles to strengthen its position as a leading crypto financial hub.
The proposal, currently open for a six-week consultation, also includes exemptions for investments in private credit, overseas property and carbon credits, according to a report by the Financial Times.
The initiative aims to help Hong Kong compete with regional rivals like Singapore, which provides similar tax incentives, and Switzerland, which is known for its wealth management expertise.
