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HKbitEX will also extend automated trading services for the group’s tokenized products after receiving approval for token listing from the Hong Kong Securities and Futures Commission.
Leading crypto exchange HKbitEX, has received licenses from the Hong Kong Securities and Futures Commission (SFC) under the Securities and Futures Ordinance (SFO) for regulated activities.
This approval is a huge achievement for HKbitEX as its parent company, Taiji Capital Group Co Ltd, becomes the first digital financial group to obtain a full virtual asset license under the new virtual asset trading platform operator licensing scheme in Hong Kong.
Implications of the Virtual Asset License to HKbitEX
As revealed in a local news media report, the licenses approved by Hong Kong regulators include those for Type 1 (dealing in securities) and Type 7 (providing automated trading services). Through the approval, HKbitEX can now offer automated trading and over-the-counter services for cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH). This is in addition to offering users convenient options to convert their digital assets to fiat currencies.
Furthermore, HKbitEX will also extend automated trading services for the group’s tokenized products (Security Tokens) after receiving approval for token listing from the Hong Kong Securities and Futures Commission. This action is expected to provide an easy, efficient, and compliant trading market for Hong Kong’s financial technology.
“HKbitEX’s in-principle approval of the virtual asset trading platform license means that HKbitEX has met regulatory requirements in terms of internal control, compliance, anti-money laundering, system security, and investor protection. The Virtual asset trading platform is another important milestone for Taiji Capital in improving the new digital financial ecosystem,” stated Dr. Gao Han, Chairman of Taiji Capital and CEO of HKbitEX.
It is worth mentioning that Taiji Capital has played a key role in advancing HKbitEX’s approval. However, Pioneer Asset Management Limited, HKbitEX’s sister company, has already been licensed to handle up to 100% of the virtual asset portfolio. Last year, Pioneer led in releasing Hong Kong’s first tokenized shop real estate fund STO, showcasing Taiji Capital’s dedication to digital financial ecosystem innovation.
Meanwhile, the Hong Kong Securities Regulatory Commission announced on March 1 that the application time for license transition arrangements has closed. Trading platforms that have not been awarded a license or have made transition plans must cease operations in Hong Kong by May 31 of this year.
HKbitEX’s Future Endeavours
In addition to its focus on virtual asset trading, Dr. Han hinted that Taiji Capital is making efforts toward building a compliant stablecoin ecosystem in Hong Kong. In the future, users will be able to trade STO on the platform using stablecoins to achieve immediate settlement of both silver and currency certificates (T+0 DvP) to improve transaction efficiency and lower settlement risks as noted by Dr. Han.
The CEO added that HKbitEX will continue to pursue compliant and safe development, collaborating with the group firm to develop financial services industries that are closely tied to local economic development.
He further stated that the company will concentrate on Hong Kong’s rising growth areas, including innovative technology, real estate, medical research and development, intellectual property rights, and new energy.
