Connect with us
Active Currencies 14434
Market Cap $2,630,821,578,579.80
Bitcoin Share 50.19%
24h Market Cap Change $-3.51

Crypto exchange gets Hong Kong’s approval, details inside

2min Read

Hong Kong’s Securities and Futures Commission recently granted approval to HKVAX, allowing operation of a crypto asset trading platform.

Hong Kong Crypto trading license

Share this article

  • The approval facilitates diverse investment opportunities within the blockchain space.
  • The convergence of regulatory initiatives highlights the delicate task regulatory bodies face in fostering innovation while ensuring investor protection.

Hong Kong’s Securities and Futures Commission (SFC) recently granted an in-principle approval to Hong Kong Virtual Asset Exchange (HKVAX). The approval allows HKVAX to operate a virtual asset trading exchange under the local securities laws.

The development follows the recent debut of crypto retail trading in Hong Kong, with HashKey and OSL exchanges obtaining licenses for offering crypto trading services.

The approval-in-principle, announced on 11 August by HKVAX, signifies a significant step forward for the crypto exchange. A Type 1 license allows HKVAX to operate a digital asset trading exchange that engages with securities. A Type 7 license, on the other hand, allows it to provide automated trading services to both retail users and institutional investors.

With this step, the exchange wants to tap into the potential of Web3 investment avenues. Once it receives the final approval, HKVAX plans to offer multiple services. These include an over-the-counter (OTC) brokerage. It allows seamless trading between fiat and digital assets, an institution-grade exchange, and a secure custody solution for digital assets.

Anthony Ng, HKVAX’s co-founder and CEO, expressed optimism about the exchange’s growth trajectory. Ng noted that as HKVAX expands, it will further diversify its product offerings within the Hong Kong market.

Navigating regulatory challenges in a growing crypto landscape

The timing of HKVAX’s approval aligns with Hong Kong’s broader engagement with the crypto market. Hong Kong’s regulatory approach to cryptocurrencies is partly driven by the lessons learned from the FTX collapse in 2022.

Recognizing the importance of crypto trading within the virtual asset ecosystem, SFC CEO Julia Leung Fung-yee highlighted the need for a robust licensing system for crypto asset service providers. This system aims to safeguard investors as they engage in the crypto market.

Amid the growth of the crypto market, regulatory bodies worldwide are dealing with the challenge of striking a balance between fostering innovation and ensuring investor protection.


Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.