According to a statement on December 18, the Hong Kong Securities and Futures Commission (SFC) has issued licenses to four virtual asset trading platforms (VATPs), marking another step in the expedited regulatory framework.
Licensed platforms include Accumulus GBA Technology Ltd, DFX Labs Company Ltd, Hong Kong Digital Asset EX Limited, and Thousand Whales Technology (BVI) Ltd.
This brings the total number of crypto trading platforms licensed to serve retail customers in Asian cities to seven, including Hashkey Group, OSL, and Hong Kong Virtual Assets Exchange (HKVAX).
License system
The SFC said recently licensed companies underwent rigorous on-site inspections earlier this year as part of guidelines introduced in June. The inspection identified areas for improvement, which the company worked on to secure a restricted licence.
The license comes with initial restrictions, which are lifted once the platform passes a second stage evaluation by an external evaluator. This process ensures that the platform meets regulatory standards required for full operational functionality.
The SFC emphasized that VATPs need to conduct vulnerability assessments and penetration tests through independent third parties. These ratings are important to maintain security and comply with global international standards.
Eric Yip, SFC's executive director of intermediation, said the licensing process included close collaboration with VATP's leadership team. He highlighted the Committee's dual focus on protecting investors while promoting the growth of Hong Kong's virtual asset ecosystem.
Mr. Yip said:
“We aim to strike a balance between protecting the interests of investors and promoting the continued development of Hong Kong's virtual asset ecosystem.”
Meanwhile, the development is in line with SFC's broader plans to expand its crypto business licenses by the end of the year. In October, the regulator revealed that a further 11 VATP licenses were being considered and the licenses would be rolled out in batches.
The SFC's proactive approach highlights Hong Kong's commitment to becoming a global hub for virtual asset innovation, while maintaining robust investor protection measures.
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