Hong Kong Won't Issue Own Crypto

Senior official said that HKMA had studied the topic and concluded that such a currency would prove less useful to Hong Kong than to some other jurisdictions
31 May 2018   399

The Hong Kong Monetary Authority (HKMA) does not plan to issue a state digital currency, a senior official from the department said.

During a meeting with legislators, Joseph Chan, acting secretary for financial services and treasury, said that HKMA had studied the topic and concluded that such a currency would prove less useful to Hong Kong than to some other jurisdictions in the world.

The HKMA has carried out research on CBDC (central bank digital currency). At the same time, the HKMA notes that the benefits of CBDC and its efficiency gains will depend on the actual circumstances of a jurisdiction. In the context of Hong Kong, the already efficient payment infrastructure and services make CBDC a less attractive proposition. The HKMA has no plan to issue CBDC at this stage but will continue to monitor the international development.

Joseph Chan

Acting Secretary,  Financial Services and the Treasury

Last April, HKMA reported for the first time that it was "studying and creating evidence of the concept of a digital currency issued by the central bank." At the same time, the agency announced that it would complete the first stage of the project before the end of 2017 and, based on its result, decide on further actions.

The last statement of Chan was a response to the request of legislator Dennis Kwok, sent on May 18. According to the published document, Kwok wanted to know whether the government was going to issue its own digital currency in order to keep Hong Kong's competitiveness in the field of financial innovation.

SEC to Slap ICO Founder With $30K Fine

Additionally, David Laurance, founder of Tomahawk Exploration LLC got 2 lifetime bans
15 August 2018   119

The US Securities and Exchange Commission (SEC) on Tuesday reported that it has issued two new bans directed against David Laurence, the founder of Tomahawk Exploration LLC. Tomahawk allegedly stands behind fraudulent ICO, writes CoinDesk.

Laurence, according to the SEC, raised funds through the sale of Tomahawkcoin tokens, in the process of using misleading advertising materials and fraudulent statements that it is a tenant of drilling sites.

Moreover, the sale of Tomahawkcoin tokens, according to the SEC, was accompanied by a false promise that "the holders of tokens will be able to exchange Tomahawkcoin for shares and receive a potential profit from oil production and secondary tokens trading."

According to the SEC, Lawrence neither acknowledged nor denied the charges, but he and his company agreed to these bans, as well as a fine of $ 30,000.

...Tomahawk issued tokens as part of the Bounty Program to generate interest in the ICO, which benefited Tomahawk. Distribution of tokens that are securities in exchange for promotional services to advance the issuer's economic objectives or create a public market for the securities constitute sales for purposes of Section 5 of the Securities Act and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder.


The first prohibition of the SEC is a ban on the director's work in public companies, and the second does not allow Lawrence to own and trade in so-called "penny" shares. Both prohibitions, according to the announcement of the SEC, are lifelong.