Hong Kong Digital Asset Alternate (HKVAX) has secured licensing from Hong Kong’s Securities and Futures Fee (SFC) to function a digital asset buying and selling platform.
The approval makes HKVAX the third licensed crypto trade within the metropolis and the primary to be licensed below the digital asset regulatory framework launched two years in the past.
HKVAX licensing
In keeping with an Oct. 4 assertion shared with CryptoSlate, HKVAX obtained a Sort 1 license for securities buying and selling and a Sort 7 license for providing automated buying and selling providers. The trade additionally acquired an Anti-Cash Laundering and Counter-Terrorist Financing Ordinance (AMLO) license from the SFC.
HKVAX makes a speciality of Safety Token Choices (STO), Actual-World Asset (RWA) tokenization, over-the-counter (OTC) buying and selling, and custody providers. These capabilities place it as some of the regulated digital asset platforms in Hong Kong.
HKVAX CEO Anthony Ng acknowledged that these licenses replicate each the corporate’s and Hong Kong’s dedication to changing into leaders within the digital asset house.
Ng acknowledged that he believes STO and RWA improvements will reshape conventional monetary markets by boosting liquidity and creating new alternatives. This purpose aligns with Hong Kong’s ambitions to solidify its standing as a world monetary hub.
Equally, Co-founder Sam Fok echoed this view, noting that the licenses are solely the start of the agency’s enlargement. He added that the approval elevates HKVAX from a easy trade to a “complete ecosystem.”
HKVAX is forming strategic partnerships with key business gamers, together with brokers, Cash Service Operators (MSOs), Alternate-Traded Fund (ETF) issuers, stablecoin suppliers, and different digital asset platforms to additional its progress. These collaborations purpose to foster a dynamic digital asset ecosystem, contributing to Hong Kong’s ongoing monetary innovation.
Hong Kong’s regulatory regime
HKVAX’s approval aligns with Hong Kong’s ongoing push to drive its place as a pacesetter within the digital asset market, particularly for retail traders.
Over time, town has launched strict rules which have pushed a number of international exchanges—together with Binance and HTX—to withdraw from the area. Notably, solely two native companies—HashKey Group and OSL—have been allowed to serve retail prospects earlier than HKVAX’s approval.
Nevertheless, the regulator has labeled 11 platforms with a “deemed to be licensed” standing, which permits them to proceed working whereas they search full approval from the SFC.