Hong Kong’s Securities and Futures Commission (SFC) has published a list of two licensed crypto trading platforms and 17 pending applicants under the new regulations that went into effect on June 1. The financial regulator stresses that operating without a license is a criminal offense and commits to taking appropriate actions against any legal breaches.
Hong Kong Reveals 17 Crypto Trading Platform Applicants as New Regulations Take Effect
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17 Crypto License Applicants in Hong Kong
Hong Kong’s Securities and Futures Commission (SFC) introduced new regulations for virtual asset trading platforms (VATPs) effective June 1. These regulations mandate that all VATPs operating in or marketing to Hong Kong investors must be either licensed by the SFC or “deemed-to-be-licensed VATP applicants,” the regulator previously explained.
The new regulations aim to enhance investor protection and market integrity by mandating comprehensive applications, including management experience, industry qualifications, and external attestations. The rules include specific token admission criteria, anti-money laundering (AML) requirements, and prohibitions on proprietary trading. Additionally, platforms must have adequate insurance or compensation arrangements for custodial risks.
As of the June 1 deadline, OSL Digital Securities Ltd. (OSL Exchange) and Hash Blockchain Ltd. (HashKey Exchange) are the only licensed VATPs in Hong Kong.
The SFC has published a list of crypto trading platform applicants, emphasizing that they are not yet licensed and may not meet regulatory standards. Investors are urged to verify licenses and be cautious of unlicensed or provisionally licensed platforms, which could be shut down if not approved.
Crypto trading platform applicants include Hong Kong BGE Ltd., Hong Kong Digital Asset EX Ltd., Hong Kong Virtual Asset Exchange Ltd., Victory Fintech Company Ltd., Panthertrade (Hong Kong) Ltd., Accumulus GBA Technology (Hongkong) Co. Ltd., DFX Labs Company Ltd., Newbx Limited, Thousand Whales Technology (BVI) Ltd., Highblock Ltd., YAX (Hong Kong) Ltd., Bullish (GI) Ltd., Foris DAX HK Ltd., Whalefin Markets Ltd., Flying Hippo Technologies Ltd., hi5 (Hong Kong) Ltd., and Bitcoin World Technology Ltd.
Several crypto exchanges have announced that they are ceasing operations in Hong Kong due to the new regulatory framework going into effect, including Okx and Gate.hk.
What are your thoughts on Hong Kong having 17 pending applicants under the new regulations? Let us know in the comments section below.
