Hong Kong is requiring all cryptocurrency exchanges without a license from the Securities and Futures Commission (SFC) to cease operations immediately. The new rule, effective June 1, mandates licensing under the Anti-Money Laundering and Anti-Terrorism Financing Order (AMLO).
In early June, the SFC announced that several exchanges, including HKbitEX and Crypto.com, are close to obtaining licenses. However, major platforms like Binance and Coinbase did not apply, and some, like OKX, withdrew their applications.
This regulatory shift aims to enhance investor protection and anti-money laundering measures, potentially positioning Hong Kong as a leading cryptocurrency hub. Despite stringent regulations, Hong Kong’s inclusive approach to digital assets could attract international investors and boost market liquidity.
By emphasizing compliance and safety, Hong Kong is strategically strengthening its status in the global crypto landscape.
