On June 25, the Hong Kong crypto market experienced a sharp increase in investor confidence following key approvals from the Securities and Futures Commission (SFC).
Impact of SFC Approvals
Shares of licensed crypto platforms soared following positive news. The platform OSL, one of the first to receive SFC approval, jumped by 18% to HK$14.6. This indicates strong investor confidence in regulated exchanges in Hong Kong.
Success of Guotai Junan International
The brokerage firm Guotai Junan International became the first Chinese exchange in Hong Kong to receive an SFC license for virtual asset trading. Following the announcement of the license, the company's share price surged by 200% during trading.
Cryptocurrency Licensing in Hong Kong
SFC licenses allow trading in Bitcoin (BTC), Ethereum (ETH), and stablecoins. Licensing fees vary based on trading volume and services. The application fee is around HK$100,000. Strict AML/KYC compliance and robust cybersecurity policies are also required.
The approval of platforms like OSL and Guotai Junan signals Hong Kong's readiness for regulated crypto market growth, opening new opportunities for investors.
