Racing Against Time: 24 Crypto Exchanges Flock to Hong Kong for Regulatory Approval

24 crypto companies rep sought licenses from Hong Kong’s Securities and Futures Price (SFC). This checklist involves famed names reminiscent of OKX, Bybit, and Crypto.com. They goal to give retail trading services, aligning with Hong Kong’s vision as a crypto hub.

The SFC’s slice-off date on February 29 spurred these applications, signaling a pivotal 2nd for the sector.

Hong Kong Objectives for Crypto Law Amidst Rising Revenue

Hong Kong’s licensing initiative is a daring step toward regulating the unstable crypto market. It showcases the metropolis’s dedication to safeguarding digital asset investors. So far, only HashKey and OSL rep secured their licenses. Thus, the flexibility mounts for the others, as non-candidates ought to close operations by March’s close.

The SFC’s stringent licensing standards goal to bolster investor protection. Platforms anticipating license approval are differentiated from those fully licensed, guaranteeing transparency and security.

This attain is crucial, especially with the metropolis’s crypto market revenue hitting $142.6 million in August 2023. Furthermore, projections indicate a sigh in direction of the $254.6 million ticket by 2028, highlighting the sector’s economic significance.

Be taught extra: Crypto Law: What Are the Advantages and Drawbacks?

Matrixport HK, under Flying Hippo Technologies Restricted, also joined the fray, submitting its utility ethical in time. Yet, the gallop to licensing has its setbacks.

Shall we embrace, Huobi HK retracted its utility quickly after submission, illustrating the challenges of meeting the SFC’s excessive standards. This and completely different withdrawals emphasize the rigorous vetting job to make certain platform reliability and compliance.

Be taught extra: A Manual to the Most intelligent Stablecoins in 2024

Previous crypto trading, Hong Kong is expanding its regulatory scope to embody stablecoin issuance. Bulletins about a regulatory sandbox for stablecoin issuers and the e-CNY pilot project expansion signal a comprehensive attain to digital asset oversight.

We can broaden the scope of e-CNY pilot testing in Hong Kong. Contributors of the final public might per chance keep up e-CNY wallets without boom for exhaust and for topping up funds by the Faster Price Machine, thereby additional bettering the efficiency and user abilities of imperfect-boundary price services,” Hong Kong Financail Secretary Paul Chan said.