- Opening bank accounts
- AML consulting
- Business support
- Сompanies for sale
Not too long ago, in the end of 2020, a company OSL LTD has successfully received a license authorizing digital asset trade in Hong Kong. This is the first case ever a license of this kind was granted. The license gives the company the right to trade in virtual securities and also provide services that are completely automated. Moreover, OSL LTD will be able to start a platform for trading in digital assets in HK.
Thanks to the license, entities who hold it would be allowed to issue investment tokens and provide other services related to digital asset trading in Hong Kong. In 2019 the Securities and Futures Commission (SFC) introduced the new approach towards the licensing of digital asset platforms and also presented the new requirements.
The newly announced conditions mainly concerned the e-wallet insurance, stricter AML regulations, higher levels of customer awareness, asset segregation in customers’ ownership, and other controls. Although there were no novelties introduced that would be related to conventional asset trading itself, platforms that were trading in digital securities in Hong Kong encountered some new regulations.
In order to be allowed to be a Licensed Operator, the platform must:
More requirements exist that are aimed directly on platforms’ activities:
Overall, the regulation in the crypto space has a positive influence on the industry in Hong Kong since it provides confidence and certainty to the investors. Thanks to the new opt-in licensing mechanism introduced by the SFC, investors are able to choose between regulated and non-regulated platforms. Resultingly, Hong Kong is becoming one of the leaders in regulating crypto platforms in Asia.
Are you planning to obtain a license and become a Licensed Operator? Contact us in COREDO to receive advice and assistance during the application process.