Crypto exchanges have until February 29th to apply for a license from the Securities and Futures Commission, or they must close their doors permanently by May 31st.
The chief financial regulator of Hong Kong has reminded crypto trading platforms of the March 1st deadline for licensing applications and has urged investors to verify the platforms’ regulatory status.
The Securities and Exchange Commission (SEC) reminded investors to only trade on regulated trading platforms in a notification they issued today. Any cryptocurrency exchange operating in Hong Kong that does not apply for a license by February 29 will be forced to shut operations by May 31st, according to the regulator.
When it comes to virtual asset trading platforms, the SFC has warned investors to move quickly if their chosen platform isn’t on their “list of licensed platforms” or “list of virtual asset trading platform applicants.” In order to “make preparations early,” the regulator advised these investors to do things like close their accounts.
Licensed exchanges in Hong Kong were able to begin providing retail trading services for virtual assets in June 2023, marking the formal commencement of the city’s crypto licensing framework. Two systems, HashKey and OSL, have been given such licenses by Hong Kong.
According to the website of the regulator, the SFC is formally considering applications from fourteen cryptocurrency companies, among which are OKX and Bybit. Among the applications listed by the SFC on January 4th is HKVAEX, a cryptocurrency exchange supposedly associated with Binance.
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