Hong Kong Security and Futures Commission (SFC) launched a public consultation on the requirements for operators of virtual assets such as cryptocurrencies. This follows after the introduction of a license requirement for all virtual asset services providers in Hong Kong or offering to citizens based in Hong Kong.
The Hong Kong commission is seeking the opinions of citizens on whether to serve retail investors and conditions to be implemented to ensure the safety of these investors. Interested contributors are allowed to submit their comments until the 31st of March, 2023.
The regulation of crypto trading platforms in Hong Kong is a decision in response to the collapse of some leading crypto trading platforms. Ms. Julia Leung, the CEO of SFC, says it’s the commission’s mission to protect investors and manage risk effectively. The licensing regime is expected to take effect on the 1st of June, 2023.
Within the period before the effect of the regime, all platforms are expected to review and prepare their systems for the transition. Those organizations without plans to appe security commission also plans to inform investors of the regulatory status of ly for a license should prepare for the closure of their business in Hong Kong. Thdifferent trading platforms on its website.
Although cryptocurrencies are banned in mainland China, the city of Hong Kong seems to have received digital assets with more open arms. During an interview last year with Bloomberg, Justin Sun, Founder of Tron, said the regulators in China are monitoring the Hong Kong policy test to see how it turns out. He’s bullish China might reverse the ban on cryptocurrencies.
Recently, Interactives Brokers (IBKR) just expanded to Asia markets. They partnered with OSL Digital Securities to offer cryptocurrency trading to professional investors in Hong Kong. This allows eligible investors with over $8 million Hong Kong dollars to invest in Bitcoin, and Ethereum, alongside other options like stock and futures.
If you would like to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
