Hong Kong security regulator to issue crypto license guidelines in May

The crypto business guidelines were reportedly revealed by the chief executive of Hong Kong’s Securities Futures Commission, Julia Leung.

The Hong Kong Securities Futures Commission (SFC) is reportedly set to release cryptocurrency exchange licensing guidelines next month.

The plans were reported by Bloomberg on April 27, which cited comments from the SFC’s chief executive Julia Leung on Thursday.

The incoming guidelines will provide support to crypto trading platforms that will be able to offer trading services to retail investors on June 1.

Leung said the consultation process on the licensing regime received over 150 responses from interested parties, according to Bloomberg.

Anti-Money Laundering (AML) and Know Your Client (KYC) regulatory requirements were some of the key considerations made in the Feb. 20 report that Leung was presumably referring to.

Julia Leung, CEO, the Securities and Futures Commission Hong Kong speech at Bloomberg #virtualasset #esg #wealthconnect #ifc pic.twitter.com/M1eCHLP1VZ

— Finance Mandarin 漢通金融學院 (@FinanceMandarin) April 27, 2023

While confirmation awaits for most prospective Virtual Asset Service Provider (VASP) licensees, some trading platforms have already begun offering crypto-related services to investors under the SFC’s supervision.

OSL and Hashkey Group are amongst the few trading platforms to have already received licenses from the SFC, according to Reuters.

Despite Hong Kong’s ambition to become the next crypto hub, not every trading platform has chosen to stick around for the long haul.

Bitget — a crypto exchange with $1.4 trillion assets in reserve — announced on April 24 that it will cease offering services to its Hong Kong customers when the Hong Kong VASP regime takes effect on June 1.

Source: https://cointelegraph.com/news/hong-kong-security-regulator-to-issue-crypto-license-guidelines-in-may