11 crypto exchanges in Hong Kong to get licences soon

June 2, 2024

Hong Kong's securities regulator said 11 cryptocurrency exchanges are a step closer to obtaining licences, one year after rolling out a digital-asset rulebook to try and foster a hub for the industry.

Applicants including Crypto.com and Bullish are "deemed to be licensed," the Securities & Futures Commission's website showed Saturday. Those venues are among platforms on the list with notable trading volumes globally.Prominent digital-asset outfits such as OKX and Bybit, which regularly command big chunks of activity, withdrew bids for permits.

Binance Holdings, the world's largest exchange, didn't apply, nor did the top US platform Coinbase Global or Kraken, another popular venue. Hong Kong set a June 1 deadline for crypto exchanges to be either licensed or deemed to be so. Firms at a minimum must fall in the latter category to operate in the city and market services to local investors, and will receive actual permits once the SFC is satisfied about compliance.

Officials pivoted toward fostering a virtual-asset hub in late 2022, part of an effort to repair Hong Kong's image as a financial centre after a crackdown on dissent sent a chill through global companies as well as expatriate staff. Hong Kong is vying with the likes of Dubai and Singapore to be a digital-asset center and whether the city will succeed is an open question.

[Bloomberg]