authentic association in hong kong and i know you've been working and involved in helping the good folks over there that i spoke with last year at the hong kong monetary authority to come up with some basic rules and they actually release on recently tell us about those. absolutely abarth i mean not a week goes by without any new regulatory changes i mean only if you look at the last week you know that people see in china announced that they did maintain their bad and i suppose you had more issue as they came out with consultation on custody rules for crypto you know and you had tied for example that there would come up with their new rules for their for approve the first i.c. a portal but when it comes to hong kong that's probably where we had some of the most exciting developments for example with the hong kong regulator issued a new framework not only for crypto exchanges but also crypto funds and just to give you. pole under the new framework and the crew license fund manager in hong kong and there's more than two thousand of them can hold up to ten percent of its portfolio in crypto us that's what of any additional licensing requirements and if it wishes t

people might be thinking this is great, hong kong dollar is on a strengthening path and all the with the hongsaw kong monetary authorityning. that is all behind us. the hong kong dollar faces a lot of obstacles, and a big one is there is a lot of money moving into the chinese market. people prefer the chinese yuan rather than the hong kong dollar. they earn a better yield as well, so there is still an incentive for people to use the hong kong dollar to switch into china. as long as that is going on, then the hong kong dollar won't get a reprieve for long. you will continue to underperform. although rates have spiked, they may not last too long. if you look at the one year rates, they had not moved a great deal. it is really at the short end of the curve, so the hong kong better enjoy its few days in the sunshine, because it will probably we can again soon. aken again soon. yvonne: thank you. we are watching china cpi prices coming out in a couple of minutes. where expect inflation not to be dead in china. core prices will still be the one thing that will be driving this. david: mliv is where you get market comment

thanks in hong kong's are set to face one of their biggest challenges yet, this new breed of financial technology firms are estimated to have as much as 30% of the revenue. the monetary authorityed a virtual banking --ense is over the course putting in the pipeline five more. they are partnering with the likes of standard chartered in hong kong. they plan to begin upgrading within the next 10 months. >> the key issue will be balancing speed to market with delivering functionality. let's bring in the managing partner at castor hong kong and global business. welcome to the show. what is a virtual bank? >> a virtual bank is a new it givesty -- traditional banks quicker access to develop functionality. >> is a traditional banks, but it doesn't have to be. >> absolutely. what you will see is they have been granted a lot of reprieve within technology films and anks coming together for customer proposition which will be compelling in the market. point, compelling to the market, it is being fast and accurate. in this case you want to be first in the market but you have be able to provide something, right? >> this is the biggest, probably, challenge for all the new entrants. they will