Hong Kong Regulator to Unveil Alternate Licensing Tips Subsequent Month

• Hong Kong plans to launch tips on digital asset trade licensing in Might.
• Afterward, traders can commerce distinguished tokens equivalent to Bitcoin and Ethereum.
• Beforehand, the HK authorities allotted $50 million to expedite Web3 growth

In an occasion on Thursday, the Hong Kong Securities and Futures Fee (SFC)’s CEO, Julia Leung, mentioned the regulator is about to launch tips on the licensing regime for digital asset exchanges subsequent month.

This replace was captured in a Bloomberg report the place Leung mentioned the transfer follows a session course of by the SFC that garnered over 150 responses from the general public concerning the regulatory framework that may apply to crypto exchanges.

The brand new licensing regime for crypto platforms, which is about to be applied by June 1, will enable retail traders to commerce distinguished tokens equivalent to Bitcoin (BTC) and Ethereum (ETH). Based on the SFC CEO, the regulator goals to develop a good and efficient regulatory framework that may shield traders and promote the event of the crypto business in Hong Kong.

Moreover, the rules are anticipated to carry extra readability to the crypto business in Hong Kong and pave the way in which for extra companies to enter the market whereas making certain that digital asset managers are adequately regulated.

In a February finances assertion, the Hong Kong authorities expressed sturdy curiosity within the third-generation Web business, Web3, aiming to grab the chance to spearhead innovation and growth. Consequently, the federal government allotted $50 million to speed up the expansion of the Web3 ecosystem within the 2023/2024 fiscal yr by organizing main worldwide seminars.

Early this month, Changpeng Zhao, the CEO of Binance, mentioned that Hong Kong banks have began displaying assist for cryptocurrencies. He expressed that their assist for crypto will channel extra funds to the crypto market, notably favoring stablecoins.