
Hong Kong is cementing its position as a global digital asset hub by licensing four new cryptocurrency exchanges.
Accumulus GBA Technology, DFX Labs, Hong Kong Digital Asset EX, and Thousand Whales Technology are the latest platforms to receive regulatory approval from the Securities and Futures Commission (SFC), bringing the total number of licensed virtual asset trading platforms (VATPs). Seven from the city.
The approval, announced amid a significant rise in the price of Bitcoin, reflects Hong Kong’s commitment to enhancing its competitiveness in the digital asset sector, and signals a strategic approach to balancing innovation with investor protection.
The SFC has emphasized an “expedited licensing process,” ensuring that these new platforms meet stringent regulatory standards while accelerating market entry.
According to Eric Yip, Executive Director of the SFC’s Intermediaries, “Our goal is to strike a balance between protecting the interests of investors and facilitating continued growth for the virtual asset ecosystem in Hong Kong.”
The timing of these approvals is particularly noteworthy, given that Bitcoin’s value has increased by more than 60% in the past six months, even surpassing the $100,000 threshold for the first time, a milestone that marked the beginning of a well-regulated The need for platforms has been underlined.
While the SFC has granted the license, these new exchanges must complete additional steps before they can fully begin operations.
This includes thorough investigation of vulnerabilities and independent testing to ensure the highest standards of security and compliance are adhered to.
Thousand Whales Technology, the operator of the EX.IO trading platform, is particularly notable because it is backed by Valuable Capital Group, a brokerage company owned by Sina Corporation, which also operates China’s popular social media site Weibo.
This highlights the growing relationship between traditional finance and the digital asset sector.
These four newly licensed exchanges were part of a larger group of about 30 firms that applied for a VATP license in 2024.
However, some notable platforms such as OKEx and HTX withdrew their applications due to ongoing regulatory concerns, highlighting the need for a strong and sustainable regulatory framework for the sector.
Hong Kong has previously licensed Hashkey, OSL and HKVAX, and earlier this year became the first in Asia to launch an exchange-traded fund (ETF) for spot bitcoin and ether, surpassing the United States.
However, Hong Kong has faced difficulties in regulating over-the-counter (OTC) crypto trading.
The City is now adjusting its regulatory oversight approach based on recent industry feedback.
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