Hong Kong approves 4 new crypto buying and selling platform licenses in regulatory push

Hong Kong’s Securities and Futures Fee (SFC) has issued licenses to 4 digital asset buying and selling platforms (VATPs), marking one other step in its fast-tracked regulatory framework, in keeping with a Dec. 18 assertion.

The licensed platforms embody Accumulus GBA Know-how Ltd, DFX Labs Firm Ltd, Hong Kong Digital Asset EX Restricted, and Thousand Whales Know-how (BVI) Ltd.

This brings the whole variety of licensed crypto buying and selling platforms within the Asian metropolis allowed to serve retail prospects to seven, together with HashKey Group, OSL, and the Hong Kong Digital Asset Trade (HKVAX).

Licensing regimes

The SFC acknowledged that the lately licensed companies underwent rigorous on-site inspections earlier this 12 months as a part of the rules launched in June. The inspections recognized areas for enchancment, which the companies addressed to safe their restricted licenses.

The licenses include preliminary restrictions, however these can be lifted after the platforms cross a second-phase evaluation by exterior evaluators. The method will make sure the platforms meet the required regulatory requirements for full operational performance.

The SFC emphasised that the VATPs should conduct vulnerability assessments and penetration exams by means of impartial third events. These evaluations are vital to sustaining safety and align with world worldwide requirements.

The SFC’s Govt Director of Intermediaries, Eric Yip, acknowledged that the licensing course of concerned shut collaboration with the VATPs’ management groups. He highlighted the Fee’s twin concentrate on defending traders whereas fostering development in Hong Kong’s digital asset ecosystem.

Yip stated:

“We goal to strike a stability between safeguarding the pursuits of traders and facilitating steady improvement for the digital asset ecosystem in Hong Kong.”

In the meantime, this improvement aligns with the SFC’s broader plan to increase the licensing of crypto companies by year-end. In October, the regulator revealed that 11 further VATPs are beneath license consideration, with approvals anticipated to roll out in batches.

The SFC’s proactive strategy highlights Hong Kong’s dedication to changing into a worldwide hub for digital asset innovation whereas sustaining strong investor safeguards.

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