Around 150 companies are queuing for Hong Kong’s local crypto license, a permit that bids them to operate a local crypto trading platform, but interestingly, recruitment execs report this hasn’t translated into a hiring frenzy yet. In fact, some of the firms eager to station themselves in Hong Kong have reportedly invested a staggering $25 million to secure the coveted license.
Sue Wei, the managing director of major recruitment giant Hays, shared her observations about the ongoing situation, stating that while exchanges have been opting for Hong Kong as their foundational base, the recruitment world hasn’t reflected the same upbeat tone. The job posts in the sector are currently few and far between. Wei speculates this might change as Web3 companies continue to mature and scale up their operations.
Since the recent slump in the crypto market, Wei’s firm has witnessed a tangible decline in the demand for technical talents. These professionals have often been the unfortunate victims of mass layoffs, which has cultivated a sense of hesitation towards working in the crypto world, a business that is significantly reliant on volatile crypto prices.
Crypto recruiter Neil Dundon mirrors Wei’s sentiment and says that he hasn’t observed much traction in Hong Kong either. He notes that even though the regulatory landscape has seen recent amendments, venture activities seem to be at an all-time low currently.
However, both Wei and Dundon agree on one looming future event – the talent war. As companies patiently wait for their licenses to get approved, experts believe that it could take around six months for an influx of crypto talents to surge in the region. Hong Kong does lack a sufficient local talent pool and this might trigger an extreme talent war as companies wishing to operate from the Asian hub risk straining the scarce resources.
Kevin Gibson, the founder of Web3 recruitment firm Proof of Search, has a gloomy prediction. If things proceed smoothly, there’s a high chance that web3 companies might turn the tables and shift their headquarters to pro-crypto jurisdictions, in order to manage the ongoing talent squeeze. This problem could persist and spill over into 2024. The city already seems to have trouble attracting talents interested in the crypto sector, a difficult task in the face of the current market sentiment.
On a positive note, Neil Tan, chair of the FinTech Association of Hong Kong, stated that he has interacted with many individuals who have recently transitioned from traditional finance to crypto. The pressing factor that now remains is whether this turbulent rush for crypto licenses eventually translates into a hiring boom, or whether Hong Kong ends up facing an unforeseen exodus of crypto companies.
Source: Cointelegraph
