The Securities and Futures Commission (SFC) of Hong Kong has granted licenses to four virtual asset trading platforms (VATPs) under its expedited licensing process for deemed to-be-licensed applicants.
The four newly licensed platforms are: Accumulus GBA Technolgy (Hong Kong), DFX Labs Company Limited, Hong Kong Digital Asset EX Limited, and Thousand Whales Technology (BVI) Limited. The decision follows the completion of a series of risk-based on-site inspections initiated in June 2024.
As a condition of licensing, these platforms are restricted to a limited scope of business until they address feedback received during inspections.
Hong Kong is Ready to Embrace Crypto
Key requirements include conducting a vulnerability assessment and penetration test, both to be completed through independent third parties with satisfactory results.
Dr. Eric Yip, the SFC’s Executive Director of Intermediaries, emphasized the balance between investor protection and fostering innovation, saying“We aim to strike a balance between safeguarding the interests of investors and facilitating continuous development for the virtual asset ecosystem in Hong Kong.”
The licensing process includes a second-phase assessment, during which the SFC will supervise the engagement between VATPs and their external assessors. After successful completion, the restriction on the platforms’ business scope will be lifted.
There is a buzz in the market that China could pull its crypto ban as the crypto market is now going to the moon. After Donald Trump’s remarkable victory in the presidential election race in 2024, Bitcoin witnessed an intense rally. At the time of writing, Bitcoin is trading at around $104,000 with a 14.4% hike in a month.
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