HKVAX has obtained a cryptocurrency exchange license from the Securities and Futures Commission (SFC), becoming the third licensed platform in the region.
Hong Kong’s Crypto Regulation Draws Mixed Reactions
Since June 2023, the SFC allows crypto trading platforms to operate with retail investors, sparking interest from companies looking to establish in Hong Kong. Simi Cheung highlighted balancing regulation and innovation.
Governance Concerns on Hong Kong Crypto Platforms
The SFC reviews 11 platforms for licensing status. It has identified governance issues and cybersecurity weaknesses at some exchanges, warning of license loss.
HKVAX Approval May Encourage New Applications
HKVAX’s approval could inspire other companies to apply for licenses. Despite application withdrawals, more firms are expected to apply for licenses in the future.
HKVAX's licensing underscores Hong Kong's determination to assert itself as a financial center, despite criticism of regulatory strictness.