Hong Kong Authorities Address Crypto Licensing and Investment Initiatives
The Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) are set to “review the requirements on virtual asset-related activities as appropriate,” addressing queries from lawmakers about accelerating the crypto licensing process and easing distribution rules for intermediaries.
Hui emphasized that licensed corporations or registered institutions are authorized to distribute crypto-related products upon notifying the regulators, without the need for altering licensing conditions. This announcement has been made at a sensitive time, especially after many global exchanges including OKX, Gate.io, and HTX had withdrawn license applications in May before the compliance with a strict deadline set by the SFC.
Hong Kong’s revamped Capital Investment Entrant Scheme (CIES) has successfully attracted substantial global investment, with Invest Hong Kong (InvestHK) processing over 300 applications since its launch on March 1.
The Immigration Department has so far accorded 80 applicants “approval in principle” to enable them to invest in the area. The scheme now allows greater flexibility in demonstrating financial capability, requiring applicants to showcase a minimum net worth of HK million, maintained over the past two years.
The updated Wealth Management Connect Scheme in the Greater Bay Area (GBA), known as WMC 2.0, continues to foster enhanced opportunities for investors and brokerage firms. Since its inception in February 2024, WMC 2.0 has raised the individual investment quota and reduced the entry requirements for brokerage firms, encouraging smoother financial exchanges across borders.
The Securities and Futures Commission, in collaboration with the China Securities Regulatory Commission, is actively integrating more brokerage firms into this initiative.The virtual assets (VA) sector, Hong Kong’s regulatory bodies, the SFC and HKMA, have fine-tuned the regulatory landscape. A joint circular issued in December 2023 outlines that intermediaries planning to engage in VA activities must notify the SFC and HKMA in advance.
Also read: Hong Kong Regains Status as Crypto Hub as Crypto Firms Return Home
Hong Kong Authorities Address Crypto Licensing and Investment Initiatives
The Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) are set to “review the requirements on virtual asset-related activities as appropriate,” addressing queries from lawmakers about accelerating the crypto licensing process and easing distribution rules for intermediaries.
Hui emphasized that licensed corporations or registered institutions are authorized to distribute crypto-related products upon notifying the regulators, without the need for altering licensing conditions. This announcement has been made at a sensitive time, especially after many global exchanges including OKX, Gate.io, and HTX had withdrawn license applications in May before the compliance with a strict deadline set by the SFC.
Hong Kong’s revamped Capital Investment Entrant Scheme (CIES) has successfully attracted substantial global investment, with Invest Hong Kong (InvestHK) processing over 300 applications since its launch on March 1.
The Immigration Department has so far accorded 80 applicants “approval in principle” to enable them to invest in the area. The scheme now allows greater flexibility in demonstrating financial capability, requiring applicants to showcase a minimum net worth of HK million, maintained over the past two years.
The updated Wealth Management Connect Scheme in the Greater Bay Area (GBA), known as WMC 2.0, continues to foster enhanced opportunities for investors and brokerage firms. Since its inception in February 2024, WMC 2.0 has raised the individual investment quota and reduced the entry requirements for brokerage firms, encouraging smoother financial exchanges across borders.
The Securities and Futures Commission, in collaboration with the China Securities Regulatory Commission, is actively integrating more brokerage firms into this initiative.The virtual assets (VA) sector, Hong Kong’s regulatory bodies, the SFC and HKMA, have fine-tuned the regulatory landscape. A joint circular issued in December 2023 outlines that intermediaries planning to engage in VA activities must notify the SFC and HKMA in advance.
Also read: Hong Kong Regains Status as Crypto Hub as Crypto Firms Return Home
The Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) are reviewing regulations for virtual asset-related activities amidst inquiries from lawmakers about speeding up the crypto licensing process and easing distribution rules for intermediaries. Licensed entities can distribute crypto products by notifying regulators without changing licensing conditions. This comes after several global exchanges withdrew license applications in May due to stringent SFC deadlines.
Hong Kong’s revamped Capital Investment Entrant Scheme (CIES) has attracted significant global investment, with over 300 applications since March 1 and 80 receiving preliminary approval. The scheme now requires applicants to show a minimum net worth of HK$10 million over the past two years.
The updated Wealth Management Connect Scheme (WMC 2.0) in the Greater Bay Area (GBA), launched in February 2024, has increased investment quotas and lowered entry requirements for brokerage firms, facilitating cross-border financial exchanges. The SFC and the China Securities Regulatory Commission are incorporating more brokerage firms into this initiative. A joint circular from December 2023 mandates intermediaries planning to engage in virtual asset activities to notify the SFC and HKMA in advance.
