Hong Kong's Crypto Licensing Acceleration

Hong Kong has pledged to speed up the licensing process for crypto trading platforms, aiming to establish itself as a leading cryptocurrency hub.

Regulatory Support

Joseph Chan, the Acting Secretary for Financial Services and the Treasury (FSTB), announced in parliament that the Securities and Futures Commission will facilitate a 'swift licensing process.' A consultative panel is expected to begin its work early next year, assisting licensed trading platforms.

Welcoming Crypto Firms

In June 2023, Hong Kong officially launched a crypto licensing regime, allowing licensed exchanges to provide retail trading services. Licenses have been granted to notable exchanges like OSL Exchange, HashKey Exchange, and HKVAX.

Stablecoin Regulation

The government is also preparing to regulate stablecoins, having released consultation documents for issuers of fiat-referenced stablecoins. Chan indicated that a legislative bill would be introduced to the Legislative Council within this month, requiring all FRS issuers to obtain a license from the HKMA.

Focus on Crypto Custody

Additionally, authorities are turning their attention to crypto custody services. Chan mentioned that regulators will propose licensing for crypto custodians next year.