The Hong Kong Securities and Futures Commission (SFC) granted a virtual asset trading license to Hong Kong Digital Asset Xchange Limited (HKDAEx) on August 27, despite missing the application deadline of May 31, 2024.
HKDAEx License Issuance
On August 27, the Hong Kong Securities and Futures Commission (SFC) issued a virtual asset trading license to Hong Kong Digital Asset Xchange Limited (HKDAEx), despite the official deadline for applications being May 31, 2024.
New Licensing Regulations
In June 2023, the SFC introduced a new licensing framework requiring all virtual asset trading platforms in Hong Kong to submit their applications by February 29, 2024. Companies failing to submit by this deadline would have to shut down by May 1, 2024. However, firms like HKDAEx continue to submit applications to comply with regulatory requirements.
Lower Barriers for Companies
Hong Kong is positioning itself as a leading crypto hub in Asia. Recently, the Hong Kong Stock Exchange (HKEX) and SFC announced a temporary relaxation of the minimum market capitalization requirements for specialist technology company IPOs and third-party investment requirements for special purpose acquisition companies (SPACs) seeking to undertake de-SPAC transactions. These changes will be effective for three years, from September 1, 2024, to August 31, 2027.
Regulatory changes in Hong Kong continue to shape the cryptocurrency market, providing opportunities for companies to adapt to new requirements and strengthen their positions in the region.
Comments