Reading 2 minutes Views 5 Published Updated
The race for Hong Kong retail crypto traders is about to begin and several crypto companies have announced plans to apply for a license on June 1st.
On May 29, Hong Kong-based cryptocurrency exchange CoinEx was the latest to announce its entry into the city, announcing that it is launching a local platform called BitHK that will apply for a Virtual Asset Service Provider (VASP) license with the securities regulator on June 1.
On the same day, Huobi tweeted that its Hong Kong division was offering cryptocurrency trading to local retail traders. The exchange filed for VASP with the Securities and Futures Commission (SFC) on May 29.
Last week, Gate.io and BitMEX exchanges announced their applications and dedicated cryptocurrency trading services in Hong Kong.
Others, such as OKX; ZA Bank, Hong Kong’s largest digital bank; and a subsidiary of Chinese state-owned multi-business conglomerate Greenland Holdings, have all announced their intention to obtain a VASP license.
Related: Chinese state media removes cryptocurrency video after Binance CEO calls it a ‘big deal’
On May 23, the SFC announced that licensed VASPs can serve retail investors from June 1, and those who wish to comply with its recommendations regarding safe custody of assets, security standards, asset separation and more can apply for a license.
New industry groups join the party
On May 29, two new cryptocurrency industry groups, the Hong Kong Licensed Virtual Assets Association (HKLVAA) and Web3 Harbor, announced their launch in a joint statement.
Both were created to serve different aspects of the industry. HKLVAA aims to serve VASP licensed firms and those interested in obtaining a city license, while Web3 Harbor aims to help develop the Web3 local area network.
Asia Express: Ripple and Visa join HK CBDC pilot, Huobi allegations, GameFi token up 300%