Hong Kong investment immigration accepts Bitcoin and Ethereum as assets for the first time, and the application process details are listed below

Here is the English translation of the text, with the specified terms translated as requested: In this dialogue, Hong Kong accountant Siu Yiu-wo shared two successful cases of using Bit and ETH as asset proof for investment immigration, and discussed Hong Kong's relevant policies and application process, revealing Hong Kong's gradual recognition of crypto. (Background: Can Chinese people buy Hong Kong Bit ETF now? The central bank: will expand mainland investment in legal financial products in HK and Macau) (Additional background: Crypto lawyer: Is Hong Kong's latest stablecoin bill an innovation catalyst or a regulatory shackle?) In this dialogue, Hong Kong accountant Siu Yiu-wo shared with Wu Blockchain the latest progress of his clients' investment immigration cases and related policy dynamics. On February 7, 2025, a client used ETH worth 30 million HKD as asset proof and had his investment immigration application approved by the Hong Kong Investment Promotion Agency. In October 2024, a client who used Bit as asset proof was also approved, which was the first case in Hong Kong where crypto was used as asset proof for investment immigration application. Siu is the deputy managing partner of Mazars CPA Limited, with over 25 years of experience in accounting and auditing. "Can crypto be used as asset proof for investment immigration?" Siu Yiu-wo: The clients who successfully used crypto as asset proof are two so far. The first case was in October 2024, using Bit. This is the second successful case, using ETH. We are working on two more cases. In the investment immigration program, the government or we accountants need to submit a report to prove that a person has 30 million HKD in assets. Bit or crypto can also be used as assets, and they are recognized. "So this investment immigration program does not require you to invest in Hong Kong, as long as you have 30 million HKD in assets?" Siu Yiu-wo: This is just the first step. First, the applicant needs to prove that he/she has 30 million HKD in assets, regardless of where these assets are - whether in Hong Kong, mainland, Africa or Australia. After proving the assets, passing the first hurdle, you then need to bring the funds to Hong Kong for investment, and must invest in designated assets, such as stocks and bonds of listed companies. You must invest the funds in Hong Kong. For these two clients, one used Bit and the other used ETH. The first step of asset verification has been passed, proving that they have 30 million HKD in assets. The next step is that they need to bring 30 million HKD to Hong Kong for investment within half a year. "Can the investment only be in stocks, and not in assets like Bit ETF?" Siu Yiu-wo: The main purpose of this investment immigration program is for investors to invest in the stock market, money market and bond market in Hong Kong, which is the most important. If you want to invest in other ways, such as the ETF you mentioned, there is a slight possibility. There is a way that you can first invest the 30 million HKD into a limited partnership fund company that you set up yourself. This company is 100% owned by you, and you can supervise this company, but there are no specific requirements on how the company invests internally. Whether the 30 million HKD can be invested in Bit ETFs issued locally in Hong Kong is still uncertain. If HSBC sells you this product, they must register it with the Investment Promotion Agency and be able to provide a certificate of proof. If they can issue the certificate, then it would be an investable product. "So the investment immigration process is, first prove you have 30 million HKD in assets (can use Bit and ETH), then the Hong Kong government will give them a 2-year visa?" Siu Yiu-wo: No, you also need to complete the investment within half a year, and only then will the visa be issued, valid for 2 years, and need to be renewed after 2 years, proving that the investment is still ongoing. Every year you need an accountant's report to prove that the total investment is not less than 30 million HKD, and to ensure that you have not transferred other investments after the investment. However, whether the investment is loss-making does not matter. Crypto assets can be proven by storing them in a cold wallet or on a large exchange like BINANCE, both of which are feasible. "Reviewing the first case where Hong Kong government approved crypto assets" Siu Yiu-wo: Clients who use crypto as assets to apply for investment immigration are basically from the mainland. There should not be many other crypto-related investment immigration cases, because in October 2024, when I called the Investment Promotion Agency and asked if they had similar cases, they said no. So I was the first one. The first case was in October 2024. They said they had never handled a similar case before, and told me "no problem, you go first, we'll discuss it internally". Then about a month later, the first case was successfully approved. I was not involved in their communication, it was mainly their own internal discussion. "In addition to Bit and ETH, will Hong Kong government recognize other coins like USDT?" Siu Yiu-wo: There is actually no official response, no official statement on which currencies are recognized and which are not, it's just feeling the stones to cross the river. You can try other currencies, but so far we have provided two successful cases. But from my perspective, the key is the liquidity of these crypto, and whether they have a very reliable market value. However, there are also comments pointing out that in Singapore, crypto has always been accepted as asset proof, but the challenge is that clients cannot provide proof of the initial investment in crypto. An article by AiYing Compliance states that the biggest hurdle is proof of source of funds (SOF). The crypto circle has a classic contradiction - "can get the coins, but can't explain the money". Early players have a lot of "black history": many people got the coins through mining, OTC trading or even "gifts from friends" in the early years, and cannot provide bank statements or transaction records. Exchange "implosions" drag down: platforms like FTX and BINANCE have had compliance issues, and some users' historical data is lost or not recognized by regulators. Anonymity is a double-edged sword: although the blockchain is transparent, it is difficult to directly link wallet addresses to real identities, making it difficult for accountants and immigration authorities to trace the source of funds.

For example: A certain big investor spent HKD 1 million to buy Bit in 2017, and now it is worth HKD 10 million. But the transfer records from that year are long gone, or it was a cash transaction, how can you prove that the 10 million is legitimate income? If you can't clarify this point, the immigration application will be directly rejected. Therefore, it is recommended to keep evidence from the first day: the transfer records of buying Bit, exchange statements, tax certificates, even a handwritten receipt is better than nothing.