HKVAX Receives Approval to Offer Crypto Services in Hong Kong
HKVAX, the Hong Kong Virtual Asset Exchange, has reached a significant milestone in its journey to becoming one of the few licensed virtual asset trading platforms in Hong Kong. The company has obtained an approval-in-principle from the Hong Kong Securities and Futures Commission (SFC), paving the way for it to join the ranks of OSL and Hashkey as the third licensed VATP in the region.
HKVAX has received a notice of approval-in-principle from the SFC, signaling a positive step forward in its licensing process. This approval will make HKVAX the third virtual asset trading platform to be licensed by the SFC, allowing it to provide regulated activities such as securities offerings and automated trading services to its customers.
“We are delighted to have received approval-in-principle from the SFC and look forward to creating a safe and trusted environment for investors in one of the world’s largest and most dynamic financial centers,” said Dr. Anthony Ng, co-founder and CEO of HKVAX.
Once the regulatory process is complete, HKVAX plans to offer three core products to its users—a professional-grade exchange platform, an OTC brokerage, and a custody solution.
The Road to Approval
HKVAX’s approval-in-principle is a result of the Hong Kong government’s efforts to establish a regulatory framework for the virtual asset industry. As part of these changes, registered institutions and banks are required to provide services to SFC-licensed crypto platforms. Additionally, firms intending to offer virtual assets must apply for the appropriate licenses to ensure compliance with regulations.
Sam Fok, co-founder and COO of HKVAX, expressed the company’s support for these regulatory changes, emphasizing the importance of transparency, reliability, and investor protection. Fok stated, “The changes also signal Hong Kong’s intent to become a global virtual asset hub.”
Importance of Licensing
The SFC has issued a warning to virtual asset trading platforms that have yet to obtain proper licenses. The regulator cautions against misleading users with statements about their intention to apply for licenses, as such announcements may give a false sense of assurance to the public regarding compliance with SFC regulations.
Proper licensing ensures that virtual asset trading platforms operate within the regulatory framework and offer a secure environment for investors. With its approval-in-principle, HKVAX is one step closer to becoming a fully licensed platform that meets the SFC’s requirements.
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