The end of the era of unlicensed cryptocurrency exchanges in Hong Kong
Key Takeaways
- Hong Kong will suspend the cryptocurrency exchange licensing process, forcing unlicensed platforms to cease operations by May 2024.
- The Securities and Futures Commission plans to enforce operating restrictions and marketing bans on non-compliant exchanges.
- A list of platforms that are mandated to close and those that are likely to be licensed will be published.
Hong Kong announced. License application suspended process Cryptocurrency exchange as of February 29th.
Now that the application window is closed, Exchanges operating without a license From Securities and Futures Commission (SFC) Local business must be suspended Until the end of May 2024.
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Exchanges affected after the deadline Restrictions on Operations And openly No local marketing activities.
With 22 applications received, SFC transparent ecosystem By promising to publish a list of platforms that have been mandated to close.. There is also a list of cryptocurrency exchanges that may be licensed, but inclusion on the list does not guarantee approval.
Once licensed, cryptocurrency exchanges will gain the ability to offer: Bitcoin and Ethereum Trading for Individual InvestorsThe SFC will review additional cryptocurrencies for potential approval.
As of now we have: Two approved cryptocurrency exchanges; OSL and HashKey.
authority Advise investors to switch to platforms that are licensed or have applications pending. This is the information on the website.
Through this regulation, the SFC aims to strengthen investor protection and maintain the financial health of the City.
This news comes amid concerns within the cryptocurrency community due to recent issues faced by BitForex users. The Hong Kong-based cryptocurrency exchange suspended withdrawal services and remained silent, its website is inaccessible and there are no updates on its social media accounts.
With a master’s degree in Economics, Politics, and Culture in East Asia, Aaron wrote a scientific thesis analyzing the differences between Western capitalism and collective capitalism after World War II.
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