Hong Kong Legislator: 'Hong Kong Should Stockpile Bitcoin for Financial Stability'
Summary
- A Hong Kong legislator suggested that the government stockpile Bitcoin as part of its foreign exchange reserves to enhance financial stability.
- Ng stated that while stockpiling Bitcoin may not significantly help in reducing the fiscal deficit, it could potentially serve as a means to strengthen finances.
- With the current fiscal deficit of the Hong Kong government exceeding 100 billion yuan, the idea of financial stabilization through Bitcoin is gaining attention.
There has been a suggestion that the Hong Kong government should stockpile Bitcoin (BTC) as part of its foreign exchange reserves.
According to industry sources on the 30th, Johnny Ng, a member of the Hong Kong Legislative Council, recently stated in an interview with Hong Kong media TKWW that "Hong Kong should explore ways to include Bitcoin in its foreign exchange reserves by leveraging the advantages of the 'one country, two systems' principle." Foreign exchange reserves are one of the tools used by central banks to manage the value of their national currency.
Ng argued that stockpiling Bitcoin could stabilize finances. He stated, "The Hong Kong government can use Bitcoin as a means to strengthen its finances," adding, "Given that the current (Hong Kong government) fiscal deficit exceeds 100 billion yuan (approximately 20 trillion won), holding only a small amount of Bitcoin would not significantly help in reducing the deficit."
JOON HYOUNG LEE
gilson@bloomingbit.ioCrypto Journalist based in Seoul
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