Hong Kong Attracts 24 Crypto Corporations for Licenses

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Twenty-4 corporations have utilized for licenses to function
digital asset exchanges in Hong Kong, marking a transfer within the metropolis’s bid to
set up a regulated hub for the business. Notable candidates embody Bybit,
OKX, and Crypto.com.

Among the many record of candidates had been Gate.io, HTX, and Bullish,
every boasting notable buying and selling volumes within the digital asset sphere. The
software course of got here with a deadline of February twenty ninth, after which
platforms failing to submit should stop operations by the tip of Might.

Angela Ang, Senior Coverage Adviser at Blockchain Intelligence Agency TRM Labs, Supply: LinkedIn

Notably absent from the applicant roster had been business
giants like Binance,
Coinbase, and Kraken.
Trade observers view the appliance pool as a litmus check for Hong Kong’s
enchantment as a digital-asset heart, significantly amidst intensifying competitors
from different jurisdictions. The town’s nine-month-old virtual-asset regulatory
framework prioritizes investor safety, doubtlessly introducing compliance
prices that would deter some companies.

“The applying record is the litmus check for business
sentiment,” stated Angela Ang, the Senior Coverage Adviser at Blockchain Intelligence
Agency TRM Labs. “It’s a very good signal to see a variety of well-known gamers within the
combine. What Hong Kong actually wants is a variety of dedicated, sizable gamers to
anchor its ecosystem.”

Ding Chen, the Head of Regulatory Affairs at Bullish,
acknowledged the associated fee implications of working a regulated enterprise, drawing
parallels with conventional monetary providers. Such issues are factored
into corporations’ general methods as they navigate Hong Kong’s regulatory panorama.

Over-the-Counter Dominance: Crypto Flows Past Digital
Exchanges

Hong Kong’s pivot in the direction of changing into a crypto hub in late 2022
displays an effort to venture a cutting-edge picture amid uncertainties concerning the
metropolis’s future. Presently, HashKey Change and OSL Group are the one
approved digital-asset exchanges working in Hong Kong.

Gary Tiu, the Head of Regulatory Affairs at OSL, highlighted the
evolving regulatory surroundings’s affect on enterprise development and
emphasised the necessity to assess related prices.

Regardless of Hong Kong’s attract as a crypto vacation spot, information
from Chainalysis
signifies that a good portion of crypto flows into town happens
by over-the-counter (OTC) trades somewhat than digital-asset exchanges.
Regulators have initiated crackdowns on small retailers facilitating
cash-to-digital asset exchanges, signaling efforts to streamline oversight.

Hong
Kong
is actively exploring rules for stablecoins and contemplating
the potential for permitting exchange-traded funds investing instantly in choose
cryptocurrencies. In a current improvement, the federal government offered $750 million of
digital inexperienced bonds utilizing HSBC Holdings’ tokenization platform, additional
underscoring town’s foray into digital finance.

Twenty-4 corporations have utilized for licenses to function
digital asset exchanges in Hong Kong, marking a transfer within the metropolis’s bid to
set up a regulated hub for the business. Notable candidates embody Bybit,
OKX, and Crypto.com.

Among the many record of candidates had been Gate.io, HTX, and Bullish,
every boasting notable buying and selling volumes within the digital asset sphere. The
software course of got here with a deadline of February twenty ninth, after which
platforms failing to submit should stop operations by the tip of Might.

Angela Ang, Senior Coverage Adviser at Blockchain Intelligence Agency TRM Labs, Supply: LinkedIn

Notably absent from the applicant roster had been business
giants like Binance,
Coinbase, and Kraken.
Trade observers view the appliance pool as a litmus check for Hong Kong’s
enchantment as a digital-asset heart, significantly amidst intensifying competitors
from different jurisdictions. The town’s nine-month-old virtual-asset regulatory
framework prioritizes investor safety, doubtlessly introducing compliance
prices that would deter some companies.

“The applying record is the litmus check for business
sentiment,” stated Angela Ang, the Senior Coverage Adviser at Blockchain Intelligence
Agency TRM Labs. “It’s a very good signal to see a variety of well-known gamers within the
combine. What Hong Kong actually wants is a variety of dedicated, sizable gamers to
anchor its ecosystem.”

Ding Chen, the Head of Regulatory Affairs at Bullish,
acknowledged the associated fee implications of working a regulated enterprise, drawing
parallels with conventional monetary providers. Such issues are factored
into corporations’ general methods as they navigate Hong Kong’s regulatory panorama.

Over-the-Counter Dominance: Crypto Flows Past Digital
Exchanges

Hong Kong’s pivot in the direction of changing into a crypto hub in late 2022
displays an effort to venture a cutting-edge picture amid uncertainties concerning the
metropolis’s future. Presently, HashKey Change and OSL Group are the one
approved digital-asset exchanges working in Hong Kong.

Gary Tiu, the Head of Regulatory Affairs at OSL, highlighted the
evolving regulatory surroundings’s affect on enterprise development and
emphasised the necessity to assess related prices.

Regardless of Hong Kong’s attract as a crypto vacation spot, information
from Chainalysis
signifies that a good portion of crypto flows into town happens
by over-the-counter (OTC) trades somewhat than digital-asset exchanges.
Regulators have initiated crackdowns on small retailers facilitating
cash-to-digital asset exchanges, signaling efforts to streamline oversight.

Hong
Kong
is actively exploring rules for stablecoins and contemplating
the potential for permitting exchange-traded funds investing instantly in choose
cryptocurrencies. In a current improvement, the federal government offered $750 million of
digital inexperienced bonds utilizing HSBC Holdings’ tokenization platform, additional
underscoring town’s foray into digital finance.